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Iran's Economic Crisis Drags Down the Middle Class Almost Overnight

(New York Times) Thomas Erdbrink - Millions of middle-class Iranians have seen their lives shrink almost overnight, dragged down by economic forces beyond their control. Iran's economy is in a shambles, savaged by years of mismanagement and renewed economic sanctions. Abbas Torkan, a former adviser to President Rouhani, said recently that the middle class had shrunk by 50%. The government has expanded the money supply by more than 30% annually for more than a decade, using the extra cash to cover budget deficits. As a result, inflation has exploded to an annual rate of 35%, says Djavad Salehi-Isfahani, a professor of economics at Virginia Tech University.
2018-12-27 00:00:00
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