Who is afraid of sanctions? The macroeconomic and distributional effects of the sanctions against Iran

The sanctions imposed on Iran at the beginning of 2012 have simultaneously limited country's access to international financial system, levied a strict boycott Iran's oil and petrochemical exports, imports intermediate goods. This paper tries quantify aggregate heterogeneous effects these sanctions. Applying synthetic control method, I show that had persistent significant Iranian economy. cost reached its maximum 19.1% real gross domestic product 4 years after application sanctions, economy has not fully recovered their removal. trace poverty dynamics for different household groups by adopting panel using income expenditure survey data. Inconsistently with sanctions' initial goals, suggest households working in governmental sectors educated are unaffected Instead, condemn young, illiterate, rural, or religious minority poverty.