Iran S Political Economy Since The Revolution

This book provides a comprehensive overview of Iran's political economy since the 1979 revolution and examines the country's energy sector.

This study entails a theoretical reading of the Iranian modern history and follows an interdisciplinary agenda at the intersection of philosophy, psychoanalysis, economics, and politics and intends to offer a novel framework for the analysis of socio-economic development in Iran in the modern era. A brief review of Iranian modern history from the Constitutional Revolution to the Oil Nationalization Movement, the 1979 Islamic Revolution, and the recent Reformist and Green Movements demonstrates that Iranian people travelled full circle. This historical experience of socio-economic development revolving around the bitter question of “Why are we backward?” and its manifestation in perpetual socio-political instability and violence is the subject matter of this study. Michel Foucault’s conceived relation between the production of truth and production of wealth captures the essence of hypothesis offered in this study. Foucault (1980: 93–94) maintains that “In the last analysis, we must produce truth as we must produce wealth; indeed we must produce truth in order to produce wealth in the first place.” Based on a hybrid methodology combining hermeneutics of understanding and hermeneutics of suspicion, this monograph proposes that the failure to produce wealth has had particular roots in the failure in the production of truth and trust. At the heart of the proposed theoretical model is the following formula: the Iranian subject’s confused preference structure culminates in the formation of unstable coalitions which in turn leads to institutional failure, creating a chaotic social order and a turbulent history as experienced by the Iranian nation in the modern era. As such, the society oscillates between the chaotic states of socio-political anarchy emanating from irreconcilable differences between and within social assemblages and their affiliated hybrid forms of regimes of truth in the springs of freedom and repressive states of order in the winters of discontent. Each time, after the experience of chaos, the order is restored based on the emergence of a final arbiter (Iranian leviathan) as the evolved coping strategy for achieving conflict resolution. This highly volatile truth cycle produces the experience of socio-economic backwardness and violence. The explanatory power of the theoretical framework offered in the study exploring the relation between the production of truth, trust, and wealth is demonstrated via providing historical examples from strong events of Iranian modern history. The significant policy implications of the model are explored. This monograph will appeal to researchers, scholars, graduate students, policy makers and anyone interested in the Middle Eastern politics, Iran, development studies and political economy.

The relationship between religion and the state has entered a new phase ever since the Iranian Revolution more than three decades ago. The recent mass uprisings against autocratic rulers in the Arab world have highlighted the potency of Islamist forces in post-revolutionary societies in the region, a force arguably unlocked first by Iran’s version of the ‘spring’ three decades ago. The economic ramifications of these uprisings are of special interest at a time when the possibility of the creation of Islamic states can have implications for their economic policy and performance again. A study of the Iranian experience in itself can offer rare insights whether for its own features and characteristics or for its possible lessons and implications for recent events in the region. This book is concerned with the economic aspects and consequences of the Iranian Revolution in general and its interaction with the international economy in particular. Many studies have to date dealt with Iran’s economic challenges, policies and performance in the post-revolutionary period but its interaction with the international economy – although of growing importance – has not received sufficient attention. The contributions in this volume by experts in the field address ways in which in the span of three decades, Iran’s economy has evolved from a strong aspiration to develop an ‘independent economy’ to grappling with debilitating international economic sanctions.

The political economy of Iran underwent the fundamental transition from feudalism to modernity from the early 19th to the 20th century: a period which was a vital watershed in Iran's historical development. This book provides a critical analysis of Iran's economic, social and political development and shows how the path to modernity, far from smooth, was hindered by both internal and international factors. These included a powerful monarchy with little interest in administrative and economic reform, a large aristocracy frequently holding vital provincial governorships and frustrating effective central government and a failure to create a modern civil service, military, banking, finance or communications - the essential infrastructure for economic development. Reformers were marginalised and business suffered. And the all-powerful ulema were a further brake on modernisation. On the international front, the rivalry of Britain and Russia compounded the problems: both acting to control Iran and to further their own interests. Hooshang Amirahmadi explores the roots of present-day challenges to modernisation and progress and, using a wealth of primary sources and original research, has produced a work which is invaluable for students of modern Iranian history, politics and Iran's political economy.

After detailed discussions of the economy's basic sectors, major national economic trends, and the government's economic policies, the author offers an assessment of the economy's overall performance against the regime's initial agenda. The final chapters discuss the extent of the dilemma confronting the government.

Misagh Parsa develops a structural theory of the causes and outcomes of revolution, applying the theory in particular to Iran. He focuses on the ends and means of various groups of Iranians before, during, and after the revolution. For Parsa, revolution is not a direct result of ideologies, which may be less important than structural factors such as the nature of the state and the economy, as well as each group's interests, capacity for mobilization, autonomy, and solidarity structures. Existing theories of revolution explain earlier revolutions better than the Iranian revolution. In Iran most of the protest was in urban areas, the peasants never played a major role, and power was transferred to the clergy, not to an intelligentsia. In the 1970s, oil revenues increased, the economy developed rapidly but unevenly, and the state's expanded intervention undermined market forces and politicized capital accumulation. Systematic repression of workers, aid to the upper class, and attacks on secular and religious opposition showed that the state was serving the interests of particular groups. When the state tried to check high inflation by imposing price controls on bazaaris (merchants, shopkeepers, artisans), their protests forced the state to introduce reforms, providing an opportunity for industrial workers, white-collar workers, intellectuals, and the clergy to mobilize against the state. Thus, structural features rendered the state vulnerable to challenge and attack. Parsa's thorough explanation of the collective actions of each major group in Iran in the three decades prior to the revolution shows how a coalition of classes and groups, using mosques as safe gathering places and led by a segment of the clergy, brought down the monarch of 1979. In the years since the revolution, the conflicts that existed before the revolution seem to be reemerging, in slightly altered form. The clergy now has control, and the state has become centrally and powerfully involved in the economy of the country.

This book provides in-depth analyses of the main social policy components and institutions in Iran. Its focus is on the period since 1979, although many of the developments are inevitably traced back to their pre-revolutionary origins. The first part of the book investigates socioeconomic trends and institutional developments—including the significant role played by post-revolutionary para-governmental organizations in the delivery of social programs. The remaining chapters analyze the achievements and challenges of health, education, social insurance, housing, and employment policies as well as the macroeconomics of poverty.

It is often assumed that Iran must necessarily submit to the forces of globalization and liberalize its economy, but the country’s ruling elites have continued throughout the post-revolutionary era to resist these pressures for neo-liberal economic reform, seeking to survive in the battlefield of today’s globalizing economy whilst remaining loyal to their own rules of engagement. This book analyzes the dynamics of economic reform in the Islamic Republic of Iran as they have played out in this post-revolutionary struggle for economic independence from 1979 up to the present day. It shows how, although some groups within the Iranian elite are in favor of opening up the economy to the inflow of foreign capital – believing that lasting independence requires economic growth powered in part by investment from abroad – others argue that such economic liberalization might endanger Iran’s national interests and put the survival of the post-revolutionary regime at risk. By examining the political causes of the ongoing tug-of-war that has taken place between these two sides of reform and counter-reform, this book provides a new approach to understanding the complex process of economic policy-making in the Islamic Republic of Iran, which will be relevant to future examinations of the political economy of the Middle East.