THE IRANIAN ECONOMY, Part I Iran's slide to the bottom

To get some perspective on the state of the Iranian economy, it may be useful to begin by providing a few benchmarks.

In 1970, Iran's gross domestic product (GDP) was US$10.6 billion (ranking 27 among all countries), while the commensurate figure for South Korea was $8.9 billion (32nd). Ten years on, Iran's GDP was $90 billion (19th) and Korea's $63 billion (28th); and in 2005, Iran had sunk to 31st in GDP ranking at $190 billion and Korea had climbed to 13th, with $791 billion.

Moreover, for Iran, real per capita income growth in the period 1980-2005 was about zero; and although it increased after 2005 because of rapidly rising oil prices, over the long haul there has been insignificant growth in real per capita incomes over the past 30 years since the Revolution.