Iran's Economy

Abstract

The Islamic Republic of Iran, a resource-rich and labor-rich country in the Middle East, is a central focus of the U.S. national security policy. The United States asserts that Iran is a state sponsor of terrorism and that Iran ssssssss uranium enrichment activities are for the development of nuclear weapons. To the extent that U.S. sanctions and other efforts to change Iranian state policy target aspects of Iran ssssssss economy as a means of influence, it is important to evaluate Iran's economic structure, strengths, and vulnerabilities. In terms of external challenge, Iran has long been subject to U.S. economic sanctions and, more recently, to United Nations sanctions. Partly due to the sanctions, some foreign countries and companies, particularly in Europe, have curbed trade and business with Iran. Iran also has faced challenges in obtaining foreign investment for development of its energy sector. Iran has turned to new trading partners, such as China and Russia, and has focused more heavily on regional trade opportunities. A significant internal challenge is domestic economic mismanagement. With the election of President Mahmoud Ahmadinejad in 2005, Iran ssssssss economic policies have worked to reduce regional and class disparities through oil wealth redistribution. Mr. Ahmadinejad has tried to reduce unemployment and poverty through expansionary monetary and fiscal policies, including large energy subsidies and subsidized lending. However, some criticize these policies for contributing to unemployment and inflation and not reducing poverty.

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Document Details

Document Type
Technical Report
Publication Date
Jun 12, 2008
Accession Number
ADA486489

Entities

People

  • Shayerah Ilias

Organizations

  • Library of Congress

Tags

Communities of Interest

  • Energy and Power Technologies

DTIC Thesaurus Topics

  • Central Asia
  • Commerce
  • Department Of State
  • Economic Policy
  • Economic Sanctions
  • European Union
  • Foreign Relations
  • Intergovernmental Organizations
  • International Law
  • International Organizations
  • International Relations
  • International Trade
  • Investments
  • Law
  • Money
  • National Politics
  • National Security

Fields of Study

  • Political science

Readers

  • Economics
  • Nuclear Non-Proliferation and International Security