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His 5 year, $1.5 trillion defense program forced Gorbachev to acknowledge the impossibility matching up to the US, seeked diplomacy instead.
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Gorbachev made sweeping concessions at the summit, accepting Reagan's 'zero option' plan and even imposed the abolishment of nuclear weapons within 10 years.
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Drastically assymetrical reduction and destruction of Soviet nuclear weapons. As compared to the SALT treaties of 1973 and 1979 which imposed limits, this decreed the total elimination of weapons.
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Gorbachev endorsed 'freedom of choice', and further announced a reduction of Soviet military presence. All these signalled to Eastern Europeans that the USSR was willing to let go, which worsened nationalist and separatist feelings within USSR.
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Marked the end of the division in Europe. Influenced Eastern European states to follow suit in breaking away from Soviet domination, beginning with Hungary, East Germany, Czechoslovakia and Romania.
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Marked the end of the Cold War as defined by a division in Europe.
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Bleak economic conditions led to the growing disillusionment with Perestroika, which had meager results. Gorbachev had introduced Glasnost to support Perestroika, but it not only failed, but further increased political discontent within USSR.
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Gorbachev had sought to save the communist system, whereas Yeltsin to destroy it.
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Gave more autonomy to the Soviet republics. Gorbachev had hoped to prevent the collapse of the USSR. The conservatives however saw it as unaccpetable and that Gorbachev's policies were undermining the dominance of the CPSU.
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The coup cemented Yeltsin's political position and damaged Gorbachev's credibility beyond repair.
