Re: We often think...
I suspect the US wanted to reward Gaddafi for giving up his WMD programs and for acknowledging (some) Libyan involvement in a number of bombings during the 1980s (including the Berlin nightclub bombing, the PanAm plane blown up over Lockerbie, and the UTA plane blown up over Niger) and paying compensation to the victims or their families. Personally, I think sending Gaddafi a nice potted plant would have been sufficient but then what do I know about international diplomacy?
Interestingly, most EU nations normalized diplomatic relations with Libya in 1999 and have been happily doing business with Gaddafi since 2004 when they lifted their economic sanctions (including an arms embargo).
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