Poverty, Growth and Redistribution

Ahmad Assadzadeh, Satya Paul

    Research output: Chapter in Book/Report/Conference proceedingChapter


    During the second half of the twentieth century Iran experimented with alternative development strategies for alleviating poverty. Between 1960 and 1978, the period preceding the Islamic revolution of 1979, a growthoriented development strategy was followed. It was implicitly assumed that the effects of growth would automatically trickle down to the poor. The income distribution studies conducted by Oshima (1973), Pesaran (1975), Mehran (1977), Sohrabi (1979) and Azimi (1985) reveal that this period saw increasing disparity in the distribution of income/consumption. The Islamic revolution brought about a new agenda in which a more equitable and just society was promised. The government introduced a taste of ‘‘economic and social welfare’’ ingredients in the development strategy. Between 1984 and 1988, the Iranian government was largely occupied in dealing with economic issues related to the Iran–Iraq war such as inflation, a sharp decline in oil revenues and continued stagnation in production. This gave rise to the lack of a unified position on development policy. After the war (which ended in 1988), the income distribution policy was virtually abandoned. The government adopted the policy of reducing the role of government and promoting a free market economy. It started a dialogue with the International Monetary Fund and the World Bank to introduce a formal programme to liberalize trade and foreign exchange markets and to privatize the economy
    Original languageEnglish
    Title of host publicationPerspectives on Growth and Poverty
    EditorsRolph van der Hoeven and Anthony Shorrocks
    Place of PublicationTokyo, Japan
    PublisherInstitute of Samoan Studies
    ISBN (Print)928081091X
    Publication statusPublished - 2003


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