North Korea has sentenced two American reporters to 12 years in a labor camp. The country detained the two women, Laura Ling and Euna Lee, in March after accusing them of crossing the border illegally and conducting undefined "hostile acts." The sentencing comes amid new reports that North Korea may be planning more missile tests. What is the real threat posed by the rogue regime, and what leverage does the Obama administration have? For more we turn to David Sanger, chief Washington correspondent for The New York Times and the author of The Inheritance: The World Obama Confronts and the Challenges to American Power.

For more on the conflict with North Korea, watch the video below.