...Great mistakes in currency exchange system in Iran Foreign exchange rates is a key point in good performance of economic system in each country. Currency exchange rates is a key variable in regulating incoming and outgoing of capital, importing and exporting goods in an economy. Exchange rates is one of the most important factors in maintaining competition potentials of a country in international markets and as a result, non-oil exportation of the country, and an important factor for being independent from oil export. More even that these, exchange rates is an effective factor in maintaining competitive domestic producers against importing foreign goods flood, goods that mostly resourcing from oil export price. Every economist well knows that specifying currency rates has a determinant role in maintaining the stability, mobility, economic growth and development of the country. So, even a small mistake in determining currency exchange rate leads to great costs and losses for the country. Unfortunately, Iranian politicians and their economic advisors have made great mistakes in the guidance and regulation of foreign exchange rate as they made mistake in many other economy key variables. This is either due to lack of right intelligence regarding currency exchange and its impressions on economy, which comes from great theoretical mistakes, or due to political preference rationality against economics rationality which is the result of different political pressures. Anyway, regardless...
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...The Good, the Bad and the Worst An Assessment of the U.S relations and policies in the Middle East Gold and silver where the elements of wealth during the peak of mercantilism as the sole policy back then was the 3G’s policy (God, Gold and Glory) in the reign of the British and French Empires. Oil, however, climbed to the top of the chart of the most strategic commodities starting the early years of industrialization passing by the Second World War, when the U.S. became by far the largest oil consuming nation; consuming oil at abundant rates to support their troops overseas and to maintain the high rate of consumerism of the American lifestyle in the homeland. Soon oil grabbed the attention of the top industrialist nations as the most critical element of their survival as super industrial economies to ensure their growing manufacturing base is supported by adequate oil supplies. Having almost two thirds of the oil reserve in the world, the Middle East became the center of attention for all industrial nations, some of which had more strategic plans than others. Both, Britain and the United States realized that their wealth and survival as super powers is so much correlated with their level of control and development of the Middle East oil-rich countries. However, the feasibility of running the Arabian states both politically and economically faded in the 20th century, since maintaining their administration was too expensive for the United Kingdom, and gradually started...
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...repatriation of an agreed amount of revenue held abroad. For such oil sales, suspend the EU and U.S. sanctions on associated insurance and transportation services. • Suspend U.S. and EU sanctions on: o Iran's petrochemical exports, as well as sanctions on associated services.5 o Gold and precious metals, as well as sanctions on associated services. • Suspend U.S. sanctions on Iran's auto industry, as well as sanctions on associated services. • License the supply and installation in Iran of spare parts for safety of flight for Iranian civil aviation and associated services. License safety related inspections and repairs in Iran as well as associated services. • Establish a financial channel to facilitate humanitarian trade for Iran's domestic needs using Iranian oil revenues held abroad. Humanitarian trade would be defined as transactions involving food and agricultural products, medicine, medical devices, and medical expenses incurred abroad. This channel would involve specified foreign banks and non-designated Iranian banks to be defined when establishing the channel. o This channel could also enable: transactions required to pay Iran's UN obligations; and, direct tuition payments to universities and colleges for Iranian students studying abroad, up to an agreed amount for the six month period. Agreements. • Comprehensively lift UN Security Council, multilateral and national nuclear-related sanctions, including steps on access in areas of trade, technology...
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...between the Middle East and Central Asia, with access to the Persian Gulf and Caspian Sea 2. Iran is the eighteenth largest country in the world 3. The economy of Iran is the twenty-fifth largest in the world by GDP (nominal) and the eighteenth largest economy in the world by purchasing power parity (PPP) 4. world’s second largest proven oil reserves, after Saudi Arabia, 5. world’s second largest proven gas reserves after Russia 6. It is OPEC's (Organization of the Petroleum Exporting Countries) 2nd largest oil exporter and is an energy superpower. 7. Subsidy reform has cut domestic consumption of oil and gas and provides more for export 8. Oil and gas aside, Iran is rich in other resources and has a strong agricultural sector 9. Easy Access to markets of neighboring countries 10. Iran has one of the highest urban growth rates in the world. From 1950 to 2002, the urban proportion of the population increased from 27% to 60% 11. TSE (Tehran Stock Exchange) has been one of the world's best performing stock exchanges in recent years. 12. The Foreign Investment Promotion and Protection Act (FIPPA) gives some protection to foreign investors and relatively good terms for the repatriation of profits 13. Although stifled in the years since the revolution, Iranians are known for their entrepreneurial skills, which is potentially a strong pull for foreign investors. 14. excellent reverse engineering capabilities and technical innovation ...
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...Abstract India’s rapid economic growth has made it the second fastest growing energy market in the world. Its domestic and international strategies has produced foreign policy differences with the United States that will require careful management on both sides. India’s basic approach to energy diplomacy has been to develop its supply potential and neutralize its potential competitors, principally China. India’s strategic interest in Iran as its energy partner and then the Iraq crisis are having a negative consequence on its economic prosperity, placing it on crossroads with the US. There is a divide between US and EU about the wisdom and desirability of imposing harsh economic sanctions on Russia. In any such confrontation, EU stands to lose much more than the US, though it can be argued that Russia will be the worst loser. In future, Russia may try to find new potential market for its gas and that could be India. So it is important for India to take its stand on Ukraine crisis carefully without tarnishing its relation with USA. India’s long-term prosperity hinges to some degree on a conflict free neighborhood; that an economically integrated region is in India’s overall security interests. Keywords: oil crisis, energy diplomacy, Ukraine Crisis, trade agreement, SAARC Nations Literature Review Indian foreign policy has always concentrated around major powerful nations like USA and Russia. The research which has been done so far is focused on building relations with these nations...
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...Outlook for the Gulf and the Global Economy A report from the Economist Intelligence Unit Sponsored by the Qatar Financial Centre Authority The GCC in 2020: Outlook for the Gulf and the Global Economy About this research T he GCC in 2020: Outlook for the Gulf and the Global Economy is a white paper written by the Economist Intelligence Unit and sponsored by the Qatar Financial Centre (QFC) Authority. The findings and views expressed in this briefing paper do not necessarily reflect the views of the QFC Authority, which has sponsored this publication in the interest of promoting informed debate. The Economist Intelligence Unit bears sole responsibility for the content of the report. The author was Jane Kinninmont and the editor was Rob Mitchell. The findings are based on two main strands of research: l A programme of in-depth analysis, conducted by the Economist Intelligence Unit, which drew on its own long-term forecasts and projections for the six GCC economies, along with other published sources of information. l A series of interviews in which economists, academics, and leading experts in the development of the GCC were invited to give their views. In some cases, interviewees have chosen to remain anonymous. Our sincere thanks go to all the interviewees for sharing their insights on this topic. March 2009 © The Economist Intelligence Unit Limited 2009 The GCC in 2020: Outlook for the Gulf and the Global Economy Executive summary O ver the...
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...Will A Nuclear Deal with Iran Impact the Iranian Regime’s Behavior and Change the Regional Dynamic in the Middle East? Mike Maleki December 06, 2014 Illustrated by Paul Combs of the Tribune Media Services. Many in the West have expressed concern about a possible failure of the P5+1 countries – the five permanent members of the UN Security Council plus Germany – to secure a comprehensive deal with Iran on its controversial nuclear program. These concerns, however, represent a somewhat myopic view of the bigger picture concerning Iran’s nuclear ambitions. A thorough look at the Iranian regime’s domestic and foreign policies reveals that a nuclear deal would, in fact, have very limited effect on the behavior of Iran’s authoritarian theocracy and change very little about the dynamics in the 1 Iran’s 1979 Islamic Revolution changed the balance of power in the Middle East. Following the revolution, Iran, a pillar of the US’ regional Cold War policy, became increasingly isolated as it quarreled with its majority Sunni neighbors for influence and sought to export its Islamic revolution as far as to Europe.1 However, Iran attempted to overcome its isolation as a Shiite and majority Persian state by tempting the aspirations of the region’s Arab population with its support for radical anti-Israel/anti-US regional movements, thus successfully establishing a web of proxies and surrogates – the so-called “axis of resistance.” Furthermore, since 2003, the Iranian...
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...TURKISH FOREIGN POLICY DURING THE COLD WAR Turkey followed a “belligerence” policy from the start of II. World War in 1939 until the start of war in 1945. The purpose of that time managers of Turkey, protect it from the damage of the war. The end of the war with the options in front of us, pushing us to act together with the Western bloc. The formation of these preferences is not a decision for an instant multi-dimensional factors, factors were created by a process. Turkey’s prefer of Western side, did not lead to acceptance by the West sincerely. European members of NATO did not want to risk of war again because of Turkey who was under the Soviet threat at that time. At the same time, they were not willing to impart that the U.S. Marshall Aid to Turkey. Britain lost its efficiency in the Middle East as in all the world and for that reason Britain was put forward a project that "Commander of the Middle East" which Turkey will play a key role for gain efficiency again. Due to U.S. opposition to this prediction, this project got shelved.In the "Containment Policy" process which started with Truman Doctrine by U.S. against the Soviet Bloc, military and geo-strategic location of Turkey opened the door to NATO membership.With North Korea's attack on South Korea, the Korean War started in 1950-53 and the Turkey participating in United States’s side, this was resulting against all suspicies and prejudice, Turkey took place between NATO member countries.Russians wishes to change of...
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...an effective development strategy. It tends to run high inflation with a devalued currency, despite massive capital inflows and a huge current account deficit. At home, the government has carefully managed between Islamicization, democracy and secularism. And abroad, it deals with a difficult neighborhood – Syria, Iran, Iraq, Israel (not to mention Russia, Europe and the USA). Prime Minister Erdogan is trying to rewrite the Constitution before 2014, when the next election occurs. 1. What have been the strengths and weaknesses of Turkey’s growth model? 2. What is causing the current account deficit? What can Turkey do about it? 3. What do you make of Islamicization in Turkey? Has it gone too far? Will it? 4. What do you make of the government’s foreign policy – “zero problems with its neighbors”? Country Background: • Land Mass; 97% in Asia 3% in Europe • 8400 Km Coast Line. (Mediterranean & Black Sea) Rivers: Tigris & Euphrates • Population 75 mm growing at 1.2% annually. 99% Moslem of which 30% Kurdish roots • 26% of population under 15 Years. • Economic activity dominated by Services 64%, then Industry 27 % then Agriculture 9% • Informal economy (unregistered) is a substantial part of Economic output. Founding of the Turkish Republic: • Ottoman Empire rule from 13th-20th century • Ottoman administration was a Central Bureaucracy under absolute authority of the Sultan spreading from Austia to North Africa through the Middle East, and supervised by local rulers...
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...2011 Accepted: April 26, 2012 Online Published: July 1, 2012 doi:10.5539/res.v4n3p18 URL: http://dx.doi.org/10.5539/res.v4n3p18 Abstract Europe’s relation with the Middle East and North Africa (MENA) is discussed in the context of normative (International Society) and materialist approaches (World System’s Theory). First, European imperialism’s export of a flawed Westphalian state system is summarized. How Europe is “caught” between MENA and the US and co-opted into a division of labour toward the region is then surveyed. The gap between the normative rhetoric and actual inequitable outcomes and structures constructed under the Euro-Mediterranean partnership is examined, looking at the three “baskets” of economic developmental, political reform and cultural convergence. Four “hard cases,” EU policies toward Palestine, Iran, Syria and Turkey, illustrate the ambiguities of the EU’s approach to MENA. MENA public opinion’s ambivalence toward Europe reflects these realities. The conclusion is that the EU’sMENA policy is caught between the rhetoric of post-colonialism and practices of neo-colonialism. Keywords: EU, Middle East, Euro-Mediterranean partnership, neo-liberalism 1. Introduction Europe literally made the contemporary Middle East states system. International society approaches stress the export of institutions and norms, notably the modern nation-state, from the European core. As Little...
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...PESTEL ANALYSIS FOR IRAN Despite political and economic ups and downs and uncertainties IRAN remains one of the Middle East top countries when it comes to the growth potential. With largest young population IRAN is considered one of the best export markets in the region. POLITICAL: Unique factor is that it is religious and Islamic. The political system of Islamic republic is based on 1979 constitution. Accordingly it is duty of Islamic government to furnish all citizens with equal and appropriate opportunities. The white revolution which is a step taken with a view to strengthening the foundation of the despotic regime and to maintain the economic links. The tax environment for foreign businesses is highly risky. The corporate tax rate has been lowered to a flat 25% from the previous maximum of about 60. The fiscal year starts on March 21 and ends on March 20 of other year. TYPES OF TAX 1 Income tax 2 Islamic taxes 3 Real estate taxes 4 Capital gain tax 5 Indirect taxes ECONOMICAL FACTORS: Inflation rate for IRAN is 13.50% for year 2010 while in 2009 it was 25.60%. It is transition economy with large public sector and estimated 50% of economy centrally planned. A unique feature is the large size of religious foundations whose combined budget makes up more than 30% of central government. Unemployment rate is 11.80%. According to official estimates some 3.5 million working age Iranians are currently unemployed. The jobless rate is high among women and youth of...
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...Brics summit “The aim of brics is to convert their growing economic power into greater geopolitical clout” BRICS is the title of an association of leading emerging economies, arising out of the inclusion of South Africa into the BRIC group in 2010. As of 2012, the group's five members are Brazil, Russia, India, China and South Africa. With the possible exception of Russia, the BRICS members are all developing or newly industrialised countries, but they are distinguished by their large, fast-growing economies and significant influence on regional and global affairs. As of 2012, the five BRICS countries represent almost 3 billion people, with a combined nominal GDP of US$13.7 trillion, and an estimated US$4 trillion in combined foreign reserves Presently, India holds the chair of the BRICS group. Due to steady growth in BRICS nations in the recent past their share in global output has grown from 11% in 2005 to 18% in 2010. President of the People's Republic of China Hu Jintao has described the BRICS countries as defenders and promoters of developing countries and a force for world peace. The BRIC grouping's first formal summit commenced in Yekaterinburg on June 16, 2009, with Luiz Inácio Lula da Silva,Dmitry Medvedev, Manmohan Singh, and Hu Jintao, the respective leaders of Brazil, Russia, India and China, all attending. In 2010, South Africa began efforts to join the BRIC grouping, and the process for its formal admission began in August of...
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...Modern Russian Foreign Policy In the 20 years since the fall of communism, Russia has seen tumultuous times. In a relatively short period of time, a former world superpower has suffered through dramatic changes – some positive, and some painful. The 1980s ultimately brought about the fall of communist U.S.S.R, the 1990s showed the world the phoenix-like rise of democracy from the ashes of communism, and the 2000s have now shown us the rise of autocracy, or “sovereign democracy” , wrapped in a Russian flag. The Russian state that enters into this new decade is an entirely different state than that of its communist, or even democratic, predecessors. Such quick, drastic changes and Western inexperience in dealing with Russia’s new form of democracy has left Western governments sometimes scrambling to find a proper response to the actions of a Russia which they do not understand. The foreign policy and resulting actions of 21st century Russia are often misinterpreted by Western powers as those of a belligerent and sometimes antagonistic state. Western media also often does not understand and does not accurately convey Russia’s foreign policy goals to the public, sometimes deciding to demonize Russia and capitalize on the fact that much of the Western populace sees little distinction between the actions of modern Russia and those of the Soviet Union. Miscalculated Western foreign policy leads to nearly the same situation inside of Russia, where an antagonistic West can only...
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...THE TURKISH REPUBLIC CAG UNIVERSITY FACULTY OF ECONOMIC AND ADMINISTRATIVE SCIENCES THE DEPARTMENT OF INTERNATIONAL RELATIONS THE NEW ERA IN TURKISH FOREIG POLICY: A MULTI- DIMENSIONAL TURKISH FOREIGN POLICY Erhan KAYA SEMINARY THESIS ADVISER PROF. DR. ALI ENGIN OBA YENICE-MERSIN/2011 Approval of the Graduate School of Economic and Administrative Sciences ________________ Prof. Dr. Ali Engin Oba Adviser I certify that this thesis satisfies all the requirements as a thesis for the degree of Master of Science. ________________ Prof. Dr. Esat Arslan Head of Department This is to certify that we have read this thesis and that in our opinion it is fully adequate, in scope and quality, as a thesis for the degree of Master of Science. Examining Committee Members Prof. Dr. Esat Arslan ________________ Prof. Dr. Ali Engin Oba ________________ I hereby declare that all information in this document has been obtained and presented in accordance with academic rules and ethical conduct. I also declare that, as required by these rules and conduct, I have fully cited and referenced all materials and results that are not original to this work. Name, Last Name: Erhan Kaya Signature: I would like to thank Professor...
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...The electoral system in United Kingdom The electoral system in United Kingdom After the examination of Canadian national institution, it has been nominated that a few reforms are intensely needed in the Canadian institutions for the due management of the regional and the inter-governmental issues (Loiacono, 2010). The three suggested reforms are the reforms in the Supreme Courts, the reforms in the senate, the reforms in the House of Commons Supreme Court The need for the reform is elevated by considering the fact that is it logical to consider Supreme Court as a general court of appeal and are their any specialized needs of constitutional tribunals. The scope of judicial proceedings and judgments needs to be institutionalized in the context. Quebec is indeed the province that responds assertively to the importance of a pure judiciary. Quebec highlights that the existing Supreme Courts are totally appointed in the conformance of federal executives, and it does not differentiate the difference between civil law and the British common law. Additionally the decisions of the Supreme Court are confirmed to be biased against the Quebecers. The debate since 1950s still needs a re-modification in the form of a pure Canadian Supreme Court, where the law holds every Canadian equal in the court of law (Sherman, 1999, p. 68). Senate The second modification proposed is the modification in the senate. The Canadian federation has long been considered to seek the reform in the...
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