To this point, nations have played the double standard by negotiating with terrorists - this includes the UK, US, and Israel. Other nations routinely conduct negotiations with terrorists because they consider it the best and most expedient way of handling a sticky situation. However, the best and only way of handling terrorism is to stamp it out - not to negotiate.
North Korea knows well what benefits exist from a continuing policy of appeasement. It has meant that the impoverished nation could create a huge standing army with the ability to cause extreme devastation to its South Korea, Japan, or anyone else who stands in its way with both conventional and nuclear weapons. North Korea has benefitted from years of appeasement and looking the other way while it has been able to maintain the capability to develop nuclear weapons. Iraq has not been able to only because the US has continued in its policy of embargo and sanctions against the country for failing to abide by terms of international agreements.
With North Korea kicking out the remaining inspectors and restarting existing nuclear facilities (while other weapons programs continued unabated), the world looks at the US and hopes that the US comes to some kind of agreement over North Korea that allows the world to breathe a little easier. However, giving in to totalitarian leaders like Kim or Hussein makes the world more dangerous, not less.
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