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81. Trade sanctions and informal employment

Author:
Ali Moghaddasi Kelishomi and Robert Nisticò
Publication Date:
01-2023
Content Type:
Working Paper
Institution:
United Nations University
Abstract:
This paper examines how trade sanctions affect the allocation of workers across formal and informal employment. We analyse the case of the unexpected and unprecedented trade sanctions imposed on Iran in 2012. We use a difference-in-differences approach and compare the probability of working in the informal sector before and after 2012 for individuals employed in industries with pre-existing different levels of exposure to international trade. Combining employment data from the Iranian Labour Force Survey and trade data from Iran’s Customs Administration database for the years 2008–14, we find that workers employed in industries initially facing higher exposure to trade are significantly more likely to experience informal employment in the years after 2012 than workers employed in industries with lower trade exposure. This result suggests that, in the short run, the informal sector may absorb a significant fraction of workers displaced by the trade shock caused by the sanctions. We estimate that the increase in informal employment is highest for poorly educated workers, highlighting the unequal labour market consequences of trade sanctions. We exclude that industries differentially exposed to international trade were already following a different trend in the share of informal employment in the years prior to 2012, thus providing empirical support for the validity of our identification strategy. Moreover, we show that our main result holds when accounting for potential sorting issues by an instrumental variable approach. Our findings shed light on a potentially important dimension of labour reallocation whereby trade sanctions can affect the economy of the target country. They also provide important implications for policies designed to address informal employment and to assist trade-displaced workers.
Topic:
Labor Issues, Sanctions, Employment, Trade, and Informal Economy
Political Geography:
Iran and Middle East

82. Holding the Islamic Republic of Iran accountable for atrocity crimes

Author:
Celeste Kmiotek, Alana Mitias, and Nushin Sarkarati
Publication Date:
04-2023
Content Type:
Policy Brief
Institution:
Atlantic Council
Abstract:
With little to no prospect for accountability within Iran’s domestic courts, victims and survivors of serious violations of international law are turning toward an increasing number of foreign jurisdictions—most commonly in Europe and North America, but also in Latin America, Africa, and other regions—to pursue justice for human rights violations carried out by the Islamic Republic of Iran. Under the principle of universal jurisdiction, certain domestic justice systems allow prosecutions in national courts for crimes committed abroad, regardless of the victim’s or perpetrator’s nationality. Universal jurisdiction stems from the concept that certain crimes are of such gravity that they harm the international community as a whole, so national courts outside the country where the violations took place may prosecute them to protect the international order. Although the crimes subject to universal jurisdiction provisions differ by state, they generally include crimes against humanity, torture, war crimes, and genocide. Limitations on universal jurisdiction also vary between states, however, as do the processes for filing complaints and procedures for investigations, trials, and appeals. As was shown by the trial and conviction of Hamid Noury in Sweden for his involvement in the massacre of Iranian political prisoners in 1988, national prosecutions of international crimes can be a fruitful avenue to justice for victims of the Islamic Republic. To this end, the Atlantic Council’s Strategic Litigation Project has compiled a guide to aid practitioners and independent investigators in navigating the legal systems of European states with the highest likelihood of prosecuting Iranian human rights violators. Focusing on five states—France, Germany, the Netherlands, Sweden, and Switzerland—this manual outlines the crimes and violations subject to universal jurisdiction, best practices for investigating and documenting crimes, and processes for requesting investigations and participating in prosecutions as a victim, witness, or NGO. For information that is beyond the scope of this manual, the annex includes printed resources to consult and organizations to contact for additional assistance.
Topic:
Diplomacy, Human Rights, Politics, Rule of Law, Accountability, Norms, Atrocities, Resilience, and Society
Political Geography:
Iran and Middle East

83. What Losing the Iran Deal Could Mean for the Region

Author:
Seyed Hossein Mousavian
Publication Date:
01-2023
Content Type:
Journal Article
Journal:
Cairo Review of Global Affairs
Institution:
School of Global Affairs and Public Policy, American University in Cairo
Abstract:
If President Joe Biden is seeking to restore sustainable peace and security in the region, he has to start with reviving the JCPOA
Topic:
Security, Nuclear Weapons, Military Strategy, Peace, JCPOA, and Strategic Interests
Political Geography:
Iran, Middle East, North America, and United States of America

84. Strategic Survival in Syria

Author:
Omar Abu Layla
Publication Date:
01-2023
Content Type:
Journal Article
Journal:
Cairo Review of Global Affairs
Institution:
School of Global Affairs and Public Policy, American University in Cairo
Abstract:
How Russia and Iran maintain their grip in Syria under the shadows of the Ukraine war
Topic:
Defense Policy, Conflict, Strategic Stability, and Strategic Interests
Political Geography:
Russia, Europe, Iran, Ukraine, Middle East, and Syria

85. Iran’s New Budget Perpetuates Economic Challenges

Author:
Henry Rome
Publication Date:
01-2023
Content Type:
Policy Brief
Institution:
The Washington Institute for Near East Policy
Abstract:
The president is proposing de facto cuts to salaries and subsidies as well as more money for the military, while avoiding the tough reforms Iran’s economy needs. On January 11, President Ebrahim Raisi submitted his budget proposal to the Majlis for the Iranian year 2023/24. Drafted amid the most severe protests the Islamic Republic has faced since its establishment in 1979, the proposal includes no economic olive branches to the people and avoids structural reforms that could help rein in inflation and fuel growth.
Topic:
Economics, Reform, Budget, Democracy, and Energy
Political Geography:
Iran and Middle East

86. Iran’s Defence Industry: What’s in Stock for Russia?

Author:
Tato Kvamladze
Publication Date:
01-2023
Content Type:
Policy Brief
Institution:
International Centre for Defence and Security - ICDS
Abstract:
Albeit heavily sanctioned and exhausted by the Islamic revolution and the war with Iraq, Iran has managed to upbuild a self-sufficient defence industry from the ashes and demonstrate a robust weapon system manufacturing capacity over the last decades. It started with low-tech reverse-engineering of 3rd generation fighters and tanks and ended with indigenously producing high-accuracy and long-range ballistic missiles. Although Tehran has exported $435 million worth of weaponry, its arms trade is not a source of revenue, but a foreign policy tool to bolster its allies and proxies in the region and beyond. Supplying weapons to Russia, however, is a unique case that signals Moscow’s desperation and inability to achieve its military objectives in Ukraine. In 2022, after years of military cooperation with Russia, Teheran finally had an opportunity to provide support to Moscow, when the exhausted and depleted Russian army requested – and immediately received – unmanned combat aerial vehicles that are now used to target critical civilian infrastructure. Further economic cooperation between two rogue states might also extend to (nuclear) technology transfers, which for now remains an Achilles’ heel for Teheran. For as long as the war in Ukraine lasts, the Kremlin will have a reliable partner who can deliver an assortment of weapons needed on short notice.
Topic:
Nuclear Weapons, Science and Technology, Arms Trade, Military, and Russia-Ukraine War
Political Geography:
Russia, Europe, Iran, Ukraine, and Middle East

87. New Canal Threatens the Peace Between the Taliban and Central Asia

Author:
Bruce Pannier
Publication Date:
07-2023
Content Type:
Commentary and Analysis
Institution:
Foreign Policy Research Institute (FPRI)
Abstract:
Since their return to power in Afghanistan in August 2021, the Taliban have managed to reach an understanding with most of the Central Asian governments to preserve a relative calm along the areas of the Afghan-Central Asian frontier. Disputes over water use have suddenly become an issue that could derail ties between Afghanistan and Central Asian states. Specifically, the construction of the Qosh Tepa canal in northern Afghanistan could lead to the loss of water for tens of thousands of people in downstream communities in Uzbekistan and Turkmenistan. In addition, three people were killed in recent clashes between Iranian border guards and Taliban fighters along the Afghan-Iranian border over rights to water from the Helmand River.
Topic:
Natural Resources, Water, Taliban, Borders, and Regional Politics
Political Geography:
Afghanistan, Iran, South Asia, Central Asia, Eurasia, Uzbekistan, and Turkmenistan

88. The Shah’s Son and the Future of Iranian Opposition

Author:
Lior Sternfeld
Publication Date:
05-2023
Content Type:
Commentary and Analysis
Institution:
Foreign Policy Research Institute (FPRI)
Abstract:
For the Iranian opposition movement to be viable, it has to offer a clear vision for Iran that can unite most Iranians. Those opposed to the Islamic Republic of Iran must keep in mind the people in Iran, including those who have not yet shown any support for the opposition, and let them know what their future would look like if the opposition prevails. Any movement that would try to rely on sentiments favoring the Iranian monarchy is doomed to fail. The Iranian people will not get behind replacing one autocratic leader for another. This is one of the reasons for despair among many Iranians of the middle generation. The Iranian opposition’s vision for the country should include the role of those who are now employed or involved in the state apparatus.
Topic:
History, Domestic Politics, and Opposition
Political Geography:
Iran and Middle East

89. Biden’s Middle East Balancing Act: Iran’s Nuclear Program and Saudi-Israeli Ties

Author:
Leon Hadar
Publication Date:
08-2023
Content Type:
Commentary and Analysis
Institution:
Foreign Policy Research Institute (FPRI)
Abstract:
This summer, the Biden administration decided to negotiate a temporary deal with Iran involving the release of American prisoners held by the Islamic Republic in exchange for the release of some of the funds that were held by the United States as part of the economic sanctions on Tehran. The White House expects that this package deal will open the road to talks with Iran on its nuclear program. The outline of a deal would include a pause in the accumulation of enriched uranium and an Iranian pledge not to produce weapons-grade fissile material, in exchange for the removal of US economic sanctions. But any diplomatic deal between Washington and Tehran raises fears among two of America’s allies in the region, Saudi Arabia and Israel, that regard Iran as an existential threat. From that perspective, a US-led process of normalizing the relations between Riyadh and Jerusalem could help contain Iran and reinforce the American pledge to strengthen the alliance with Saudi Arabia and Israel.
Topic:
Diplomacy, Nuclear Weapons, Sanctions, Negotiation, and Joe Biden
Political Geography:
Iran, Middle East, Israel, Saudi Arabia, and United States of America

90. Iran and the ‘Axis of Resistance’ Vastly Improved Hamas’s Operational Capabilities

Author:
Colin P. Clarke
Publication Date:
10-2023
Content Type:
Commentary and Analysis
Institution:
Foreign Policy Research Institute (FPRI)
Abstract:
Iran has provided training, equipment, and financing to Hamas over the years, vastly improving the terrorist organization’s capabilities, evidenced by the cross-border attack into Israel on October 7 that resulted in more than 1,400 killed. The unification of Iran’s network of proxies under the purview of the Islamic Revolutionary Guard Corps Quds Force Commander Esmail Qaani has been a force multiplier and cemented Iran’s “unity of fronts” strategy as the most effective means of encircling Israel. Israel has declared its intention to destroy Hamas completely, but any attempt to do so will come at an extremely high cost and could spur other Iranian proxies like Hezbollah to join the fray, prolonging the conflict and increasing the likelihood of a region-wide conflagration.
Topic:
Terrorism, Hamas, Armed Conflict, Proxy Groups, and Axis of Resistance
Political Geography:
Iran, Middle East, Israel, and Palestine