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Reflecting on Iran's Presidential Election

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Within these general principles, Mr. Mousavi occasionally (and, again, very vaguely) spoke of reducing poverty and unemployment and increasing homeownership, without explaining how he would achieve these objectives. Judging by his overall philosophy of economic reform, it is obvious, however, that he would rely on market efficiency, managerial knowhow, and individual or entrepreneurial ingenuity to achieve these goals. At one point in his "Program for the Improvement of the National Economy he writes, "Today most economists believe that, within certain ethical framework, individuals' pursuit of self-enrichment can lead to the collective well-being at the national level.

This is, of course, the prima-facie beautiful but actually misleading motto of laissez-faire economic doctrine, and the major justifier of the unregulated, trickle-down economic philosophy. It is ironic at a time when this deceptive economic doctrine, which promotes greed as a virtue, is wreaking havoc in the core capitalist world Mr. Mousavi is trying to promote it in Iran.

A recurring theme in Mr. Mousavi's economic agenda was bringing down the oppressively high rates of inflation in Iran, which he blamed on Ahmadinejad's government. Why? Because, he argued, Ahmadinejad's "out-of-control social spending and/or subsidies to the poor and working classes gave them a strong purchasing power that, in turn, led to a strong demand and, therefore, high inflation. And what was his solution to bring inflation down? Simple: reduce the size of the public sector, cut social spending, and promote free enterprise and economic liberalism.

Both Mr. Mousavi's diagnosis of inflation (social spending) and his prescription for fighting it (cutting that spending) are based on major theories of neoliberal economics, which are religiously promoted by the IMF (International Monetary Fund) and WTO (World Trade Organization) throughout the world.

While Mr. Mousavi was sparing and ambiguous in terms of a positive policy agenda for change, he was quite openhanded and expansive on negative campaigning. In an unfair and obfuscationist manner, he blamed almost all of Iran's economic difficulties on Ahmadinejad, thereby overlooking the debilitating effects of economic and military pressures from abroad.

A great deal of Iran's economic problems such as inflation and unemployment are due to the suffocating imperialist economic sanctions and military threats. Since the 1979 revolution, Iran has been essentially under both an economic and military siege, ruthlessly inflicted by US imperialism and its allies. These destabilizing policies of economic strangulation have led to capital flight (both human and financial), hoarding and black-market activities by unscrupulous domestic capitalists, known as "economic mafias, and speculative investment in trade and real estate, instead of long-term investment in productive activities.

A product of the revolution and prime minister for eight years, Mr. Mousavi must be aware of these debilitating consequences of foreign interferences on the Iranian economy. Alas, he seems to be more interested in scoring political points against Ahmadinejad than abiding by the principles of fairness in judgment.

But then he also blamed Ahmadinejad and his "rash foreign policy for the imposition of economic sanctions and military threats from abroad. Ahmadinejad's foreign policy has consisted of an uncompromising stance against the United States and its allies on the issue of Iran's legitimate right to nuclear energy, outspoken opposition to the colonial settler state of Israel, steadfast support for liberation movements in Palestine and Lebanon, and expanding friendly relations with revolutionary and progressive governments around the globe, including those of Cuba, Venezuela and Bolivia.

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Ismael Hossein-zadeh is a professor of economics at Drake University, Des Moines, Iowa. He is the author of the newly published book, The Political Economy of U.S. Militarism His Web page is http://www.cbpa.drake.edu/hossein-zadeh
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