1. By: Richard D. Comeau
BUS 245: Global Business
Dr. Paul L. Gerhardt
May 24th, 2013

2.  This presentation looks at Iran’s economic type,
major items of it’s economy, etc. This presentation
also breaks down the economic reports and looks
at Gross Domestic Product numbers and these
numbers are compared to the United States’ Gross
Domestic Product numbers as well.

3.  Iran is considered a mixed economy in which
uses both command and market economic
strategies.
 The exportation of Oil accounts for an
estimated 80% of the earnings on the foreign
exchange.
 Agriculture accounts for approximately 21%
of Iran’s GDP in 1999.

4.  Religion:
 The official religion in Iran is identified as Shia
Islam.
 The Population of Shia Muslims is
approximately 89% and the population of
Sunni Muslims is approximately 10%.

5.  Languages:
 The official language of Iran is identified as
Farsi, in which is a type of The Persian
language.
 Population:
 The population was estimated at 69,515,000 by
the United Nations in the year 2005.

6.  Political System:
 Iran was a complete monarchy until the
revolution in the year 1979.
 Iran became an Islamic Republic after the
revolution in the year 1979.

8. -20,000
-15,000
-10,000
-5,000
0
5,000
10,000
15,000
20,000
25,000
30,000
35,000
2007
Imports
Exports

9.  The most important crops that Iran grows are:
 Tobacco
 Cotton
 Rice
 Wheat
 Sugar Beets
 Nuts
 Fruits & Other Grains

10.  Iran’s Currency is identified as the Rial, in
which is a paper currency of approximately 100
Dinars.
 1 USD= 9,040.26 Iranian Rials
 12:00 Noon(GMT)= 3:30 P.M.(Iranian Time)

11.  Gross Domestic Product: For This Is The Total
Value of all of the final goods and services that
are produced during a given period in an
economy, for it is usually a year.
 Fiscal Year: The time period that is used for
much of the government’s accounting
process, in which is running from the first day
to the last day, for these years are labeled on
the calendar by the end of the current year.

12.  It is approximately 19% of Iran’s income that
was generated from Agricultural sector.
 It is approximately 55% of Iran’s Income that
was generated from the Services sector.
 It is approximately 26% of Iran’s income that
was generated from the Industrial sector.

13. Sales
Services
Agriculture
Industry

14.  The average Iranian household spent approximately 32% of its
earnings on fuel.
 The average Iranian household spent approximately 8% of its
earnings on education.
 The average Iranian household spent approximately 20% of its
earnings on food.
 The average Iranian household spent approximately 12% of its
earnings on health care.

15. % Spent
Education
Fuel
Food
Health Care

16.  Indiaidual Income Tax Rate: Varies between
12% and 54%.
 Corporate Profit Tax Rate: Approximately 25%.
 Social Security Contribution: Approximately
7%.

17.  As of the year 2005, The United Nations has
estimated That Iran’s population is
approximately 69,515,000 people, and it ranks
18th out of 193 nations world wide.

18.  Rao & Kumar had launched an argument that the
M1 method of examining the panel is considered
the dominant method of composing the supply of
money; although, the M2 & M3 methods should
not be counted out of the examination of the
supply of money.

19. Price Per Barrel(USD) Quantity of Oil Demand(Million of
Barrels per Day)
$20.00 per Barrel 120 Million Barrels per Day
$40.00 Per Barrel 104 Million Barrels Per Day
$60.00 Per Barrel 88 Million Barrels Per Day
$80.00 Per Barrel 72 Million Barrels Per Day
$100.00 Per Barrel 56 Million Barrels Per Day
$120.00 Per Barrel 40 Million Barrels Per Day

20.  Total Revenue is the Price times the Quantity.
 Marginal Revenue is the Total Revenue divided by the Quantity.
 TR=120x40; This comes to approximately $4,800 USD.
 MR= (5600-4800)/ (56-40)
 MR= 800/16; This Comes out To Approximately $50.00 USD.
 Each of the 12 countries in OPEC produces Approximately 1/12th of the
organization’s output.

21.  Krugmann, Paul, Wells, Robin, Graddy, Kathry
n. (2011). Essentials of Economics: 2nd Edition.
Worth Publishers, New York, NY
10010, United States of America.
 Bouillon, Markus R.; Stobwasser, Ralph.
"Iran." Worldmark Encyclopedia of National
Economies. 2002. Retrieved May 01, 2013 from
Encyclopedia.com: http://www.encyclopedia.
com/doc/1G2-3410100136.html

22.  Khan, R. E. A., & Hye, Q. M. A. (2013). Financial liberalization and
demand for money: A case of pakistan. The Journal of Developing
Areas, 47(2), 175-198. Retrieved from
http://search.proquest.com/docview/1348258551?accountid=114
 "Iran." Worldmark Encyclopedia of Nations. 2007. Retrieved May
02, 2013 from Encyclopedia.com:
http://www.encyclopedia.com/doc/1G2-2586700201.html
 Iran(Map). Retrieved May 23rd,2013 from Nations Online:
http://www.nationsonline.com/oneworld/map/iran_map.htm

23.  I would like to conclude that doing business in
Iran is not an easy task, but it can be extremely
rewarding in long term investments.
 Thank You for your attention
 The End