Years of international isolation and sanctions have prompted Iran to structure its economy to survive various kinds of onslaught. Though it remains exposed to further interruption, Iran’s economy has proven itself resilient in the face of Israel’s campaign. What explains…

The oil boom of the late 2000s created significant headwinds for Iranian manufacturers. As the value of oil exports surged, the Iranian rial appreciated, real wages rose, and foreign goods flooded the Iranian market. Middle-class families relished in their newfound…