VOL. XXXVI

NO. 36

7-JUNE-1993

IRAN

Domestic Oil Product Price Subsidies Cost Iran Dear

The Iranian Government is subsidizing 85-99% of the cost of oil products,resulting in a gross distortion in patterns of energy consumption, according toa recent analysis by the Tehran daily Hamshahri. The daily says that the subsidized prices are not defensible, even after taking into account the averageincome level, and that the cost of such large subsidies has meant that"billions of dollars of the country's...