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Resistive Economy
A resistance economy, also known as a resistive economy ( fa, اقتصاد مقاومتی) is an economy that tries to circumvent sanctions imposed on the country or region. This can involve increasing resilience by substituting local inputs for imported inputs, the smuggling of goods and an increase in barter trade. A country may even attempt to turn these pressures into opportunities. In some ways sanctioned economies bear some resemblance to an economy on a war or emergency footing. Measuring economic activity in nations under sanctions requires different techniques than those used for other countries. Terminology This phrase first used by Ayatollah Khamenei Supreme Leader of Iran during a meeting with Iranian entrepreneurs as a response to the Western sanctions and subversion policies against Iran in 2011. History Gaza The term was used in relation to the Gaza strip. In September 2007, Israel and Egypt imposed a blockade on Gaza, focused on weapons and construction mate ...
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International Sanctions
International sanctions are political and economic decisions that are part of diplomatic efforts by countries, multilateral or regional organizations against states or organizations either to protect national security interests, or to protect international law, and defend against threats to international peace and security. These decisions principally include the temporary imposition on a target of economic, trade, diplomatic, cultural or other restrictions (sanctions measures) that are lifted when the motivating security concerns no longer apply, or when no new threats have arisen. According to Chapter VII of the United Nations Charter, only the UN Security Council has a mandate by the international community to apply sanctions (Article 41) that must be complied with by all UN member states (Article 2,2). They serve as the international community's most powerful peaceful means to prevent threats to international peace and security or to settle them. Sanctions do not include the ...
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Import Substitution Industrialization
Import substitution industrialization (ISI) is a trade and economic policy that advocates replacing foreign imports with domestic production.''A Comprehensive Dictionary of Economics'' p.88, ed. Nelson Brian 2009. It is based on the premise that a country should attempt to reduce its foreign dependency through the local production of industrialized products. The term primarily refers to 20th-century development economics policies, but it has been advocated since the 18th century by economists such as Friedrich ListMehmet, Ozay (1999). ''Westernizing the Third World: The Eurocentricity of Economic Development.'' London: Routledge. and Alexander Hamilton.Chang, Ha-Joon (2002). ''Kicking Away the Ladder: Development Strategy in Historical Perspective.'' London: Anthem Press. ISI policies have been enacted by developing countries with the intention of producing development and self-sufficiency by the creation of an internal market. The state leads economic development by nationalizat ...
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Economy Of Iran
The economy of Iran is a mixed economy with a large state-owned sector and is the largest in the Middle East in terms of nominal GDP. It is the world's 21st largest by purchasing power parity (PPP). Some 60% of Iran's economy is centrally planned."A survey of Iran: Stunted and distorted". ''The Economist'' (2003) It is dominated by oil and gas production, although over 40 industries are directly involved in the Tehran Stock Exchange. The stock exchange has been one of the best performing exchanges in the world over the past decade.Matthew Lynn: Are you brave enough to invest in Iran?
''Wall Street Journal (Market Watch)'', March 26, 2014. Retrieved March 28, 2014.
With 10% of the world's
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Foreign Relations Of Iran
The foreign relations of Iran are the economic and diplomatic relationships between the Iranian government and governments of other countries. Geography is a very significant factor in informing Iran's foreign policy. Following the 1979 Iranian Revolution, the newly formed Islamic Republic, under the leadership of Ayatollah Khomeini, dramatically reversed the pro-American foreign policy of the last Shah of Iran Mohammad Reza Pahlavi. Since then the country's policies have oscillated between the two opposing tendencies of revolutionary ardour to eliminate Western and non-Muslim influences while promoting the Islamic revolution abroad, and pragmatism, which would advance economic development and normalization of relations. Iran's bilateral dealings are accordingly sometimes confused and contradictory. Iran currently maintains diplomatic relations with 97 countries. According to data published by the Reputation Institute, Iran is the world's second least internationally reputable c ...
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Mercantilism
Mercantilism is an economic policy that is designed to maximize the exports and minimize the imports for an economy. It promotes imperialism, colonialism, tariffs and subsidies on traded goods to achieve that goal. The policy aims to reduce a possible current account (balance of payments), current account deficit or reach a current account surplus, and it includes measures aimed at accumulating foreign-exchange reserves, monetary reserves by a positive balance of trade, especially of finished goods. Historically, such policies frequently led to war and motivated colonialism, colonial expansion. Mercantilist theory varies in sophistication from one writer to another and has evolved over time. It promotes government regulation of a nation's economy for the purpose of augmenting state power at the expense of rival national powers. High tariffs, especially on manufactured goods, were almost universally a feature of mercantilist policy.John J. McCusker, ''Mercantilism and the Econom ...
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Protectionism
Protectionism, sometimes referred to as trade protectionism, is the economic policy of restricting imports from other countries through methods such as tariffs on imported goods, import quotas, and a variety of other government regulations. Proponents argue that protectionist policies shield the producers, businesses, and workers of the Import substitution industrialization, import-competing sector in the country from foreign competitors. Opponents argue that protectionist policies reduce trade and adversely affect consumers in general (by raising the cost of imported goods) as well as the producers and workers in export sectors, both in the country implementing protectionist policies and in the countries protected against. Protectionism is advocated mainly by parties that hold Economic nationalism, economic nationalist or left-wing positions, while economically right-wing political parties generally support free trade. There is a consensus among economists that protectioni ...
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US Sanctions Against Iran
The United States has since 1979 applied various economic, trade, scientific and military sanctions against Iran. United States economic sanctions are administered by the Office of Foreign Assets Control (OFAC), an agency of the United States Department of the Treasury. Currently, United States sanctions against Iran include an embargo on dealings with the country by the United States, and a ban on selling aircraft and repair parts to Iranian aviation companies.Haidar, J.I., 2015Sanctions and Exports Deflection: Evidence from Iran" Paris School of Economics, University of Paris 1 Pantheon Sorbonne, Mimeo The United States has imposed sanctions against Iran in response to the Iranian nuclear program and Iranian support for Hezbollah, Hamas, and Palestine Islamic Jihad, that are considered terrorist organizations by the United States. Iranian support for the Shia militias in Iraq and the Houthis in the Yemen civil war are also in contention. On 17 May 2018, the European Commissio ...
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Constitution Of The Islamic Republic Of Iran
The Constitution of the Islamic Republic of Iran ( fa, قانون اساسی جمهوری اسلامی ایران, ''Qanun-e Asasi-ye Jomhuri-ye Eslâmi-ye Iran'') was December 1979 Iranian constitutional referendum, adopted by referendum on 2 and 3 December 1979, and went into force replacing the Constitution of 1906. It has been 1989 Iranian constitutional referendum, amended once, on 28 July 1989. The constitution has been called a "Hybrid regime, hybrid" of "theocratic and democratic elements". Articles One and Two vest sovereignty in God; but article Six "mandates popular elections for the presidency and the Majlis, or parliament." However, main democratic procedures and rights are subordinate to the Guardian Council and the Supreme Leader of Iran, Supreme Leader, whose powers are spelled out in Chapter Eight (Articles 107–112). History It is said that an early draft was written in Paris by Ruhollah Khomeini during his exile there before the overthrow of the Pahlavi d ...
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Supreme Leader Of Iran
The Supreme Leader of Iran ( fa, رهبر ایران, rahbar-e irān) is the List of heads of state of Iran, head of state of the Iran, Islamic Republic of Iran. The Supreme Leader directs the Government of the Islamic Republic of Iran, executive system and History of the judicial system of Iran, judicial system of the Government of the Islamic Republic of Iran, Islamic theocratic government and is the Commander-in-Chief of the Iranian Armed Forces, commander-in-chief of the Iranian Armed Forces. The Supreme Leader is the highest-ranking political and religious authority of Iran. The Armed Forces of the Islamic Republic of Iran, armed forces, Judicial system of Iran, judiciary, Islamic Republic of Iran Broadcasting, state television, and other key government organisations such as Guardian Council and Expediency Discernment Council are subject to the Supreme Leader."Who's in Charge?" by Ervand Abrahamian ''London Review of Books'', 6 November 2008 According to the constitution, t ...
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Corruption In Iran
Corruption is a serious problem in Iran, being widespread, mostly in the government. Corruption levels Transparency International's 2021 Corruption Perception Index ranks the country in 150th place out of 180 countries, on a scale where lower-ranked countries are perceived to have a more honest public sector. Iran's ranking has fallen steadily since a high of 130th in 2017. Reformists and conservatives alike – at times even the Supreme Leader – routinely criticize corruption in the government. Although a Reuters special investigation has revealed Supreme Leader Khamenei controls a massive financial empire built on property seizures worth $95 billion. Then-President Mahmoud Ahmadinejad has vouched to fight ''" economic/oil Mafia"'' at all echelons of government. President Ahmadinejad has also proposed that lawmakers consider a bill, based on which the wealth and property of all officials who have held high governmental posts since 1979 could be investigated. Out of the $700 ...
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Iranian Targeted Subsidy Plan
The economy of Iran includes a lot of subsidies. Food items, such as flour and cooking oil, are subsidized, along with fuels such as gasoline. However cutting subsidies can cause civil unrest. The Iranian targeted subsidy plan ( fa, طرح هدفمندسازی یارانه‌ها), also known as the subsidy reform plan, was passed by the Iranian Parliament in 2010. The government described the subsidy plan as the "biggest surgery" to the nation's economy in half a century and "one of the most important undertakings in Iran's recent economic history". The goal of the subsidy reform plan is to replace subsidies on food and energy (80% of total) with targeted social assistance, in accordance with a Five Year Economic Development Plan and a move towards free market prices in a 5-year period. The subsidy reform plan is the most important part of a broader Iranian economic reform plan. According to the government, approximately $100 billion per year is spent on subsidizing energy ...
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Science In Iran
Iran has made considerable advances in science and technology through education and training, despite international sanctions in almost all aspects of research during the past 30 years. Iran's university population swelled from 100,000 in 1979 to 2 million in 2006. In recent years, the growth in Iran's scientific output is reported to be the fastest in the world. Science in ancient and Medieval Iran (Persia) Beginning in ancient times Persia has been a center of scientific achievement and was often the conduit of knowledge from China and India in the East to Greece and Rome in the West. Persian-speaking scholars have been active in furthering knowledge in fields of science and technology, such as astronomy, chemistry, anatomy, biology, botany, cosmology, mathematics, engineering, and architecture. Science in Persia evolved in two main phases separated by the arrival and widespread adoption of Islam in the region. References to scientific subjects such as natural science and ...
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