Foreign policy of the Ronald Reagan administration of the Soviet Union's total export earnings). To restructure the Soviet economy before it collapsed, Gorbachev announced an agenda of rapid reform, based upon what he called perestroika (meaning "restructuring") and glasnost (meaning "liberalization" and "openness"). Reform required Gorbachev to redirect the country's resources from costly Cold War military commitments to more profitable areas in the civilian sector. As a result, Gorbachev offered major concessions to the United States on the levels of conventional forces, nuclear weapons, and policy in Eastern Europe. Many US Soviet experts and administration officials doubted that Gorbachev was serious about winding down the arms race,
Mikhail Gorbachev the flag of the Soviet Union was lowered from the Kremlin and was replaced with the Russian tricolor flag. The next day, 26 December, the Soviet of the Republics, the upper chamber of the Supreme Soviet, declared that the Soviet Union had ceased to exist as a functioning state, and formally voted both itself and the Union out of existence. Two days after Gorbachev left office, on 27 December 1991, Yeltsin moved into Gorbachev's old office. Gorbachev had aimed to maintain the CPSU as a united party but move it in the direction of Scandinavian-style social democracy. But when the