Iran Confronts an ‘Economic Evolution’

Gasoline? It’s 36 cents a gallon. Laundry detergent? Fifty cents for a standard-size box. Milk? About 20 cents a quart. These prices are so low because Iran’s government spends half its national budget to subsidize many of life’s necessities. Not for long. President Mahmoud Ahmadinejad has launched a sweeping economic restructuring plan that would end many of these subsidies within a couple of months. To blunt the blow of gasoline prices quadrupling and similar increases for other goods, he also proposes to give as much as $70 a month to poor Iranians. >>>

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