The consequences of the 1979 Iranian Revolution for Democracy, Term Paper

The consequences of the 1979 Iranian Revolution for Democracy, Freedom, and Justice in Iran - Term Paper Example The 1979 Iranian Revolution is ‘Never’ Successful According to some scholars, the governing clerics originally thought that the intellectuals and technocrats were inconsequential and that the state machinery could be transformed into something simpler to complement their motives (Lotfalian, 2009). It has been argued that Khomeini’s belief that the institutions of religious education are able to supervise state affairs is accurate. The requirements and value of the state were relaxed to suit the experience and knowledge of those occupying important government positions (Ganji, 2003). But it is the contention of this paper that Iran has greatly endured this ruinous strategy of ‘loyalty to the regime above technical and professional competence’ (Ganji, 2003, 209). The administration of the Akhonds has been unsuccessful in all aspects of nation building. Pervasive corruption has deeply worsened the impacts of its ineffectiveness, ignorance, and preferenti al treatment. The utmost justification of Akhond’s rule was that they would abolish the reliance of Iran on foreign countries and would be genuinely self-sufficient and autonomous. Their regime was to play as an exemplar for ‘the exploited and poor nations’ (Milani, 1993, 359). The rule was to consolidate the Muslim societies across the globe. Its objective was to communicate its revolution to every Islamic community. Yet, the agricultural and industrial sectors of Iran, according to Milani (1993), are wobbling and more reliant on overseas support and imports than ever before. Multinational firms and foreign investors are now gaining more success to the detriment of the local population. The revolution is greatly opposed and ruined in Iran that even the proposal for its transmission to other Muslim communities seems absurd. There are arguments that the Iranian revolution successfully attained its objective and ideology for building a new society. It commenced wit h a vow to improve the standard of living and build a democratic, just, and free society. Yet, it is the contention of this paper that after three decades, what the 1979 Iranian revolution has actually created is a system that has neither a rational or avant-garde foundation, nor a revolutionary blueprint for the nation. According to Kazemi (2003), it fails to carry a humanistic and moral bases and religious authority. Fundamentally, it has become an arrogant, authoritarian regime. The mullahs have been successful in retaining their powers through frauds, corruptions, and violence, yet their status is quite unsteady at present (Ganji, 2003). Obviously they have proved that they are willing to take any measure to remain in power, such as prioritizing over Islam the reinforcement of political control and to the detriment of the people and the nation. The leader of the invincible Assembly of Experts, Akhond Ali Meshkini, proclaimed in 2000 that â€Å"Ayatollah Khamenei’s powers are absolute and subject to no limitations of any kind. Popular elections have no influence on the matter. Until divine justice is restored on earth, he has guardianship over the goods and the souls of men†

Portfolio Investment Theory Essay Example | Topics and Well Written Essays - 1000 words

Portfolio Investment Theory - Essay Example At portfolio balance theory national and foreign assets are imperfect substitutes; market participants are holding both types of assets at equilibrium. Macroeconomic shocks are affecting expected returns of national and foreign assets and changes relative asset demands. Assets markets are balanced with a change in exchange rate. Current and capital accounts surpluses/deficits are among the most important macroeconomic shocks affecting relative asset demand. In portfolio balance theory a sterilized sale of foreign currency denominated bonds by Central bank creates an excess supply for foreign currency denominated bonds and an excess demand for domestic currency denominated bonds. For market to come to the equilibrium price of the domestic bonds must rise and price of foreign bonds must fall. That means that domestic interest rate must fall and foreign interest rate must rise. Domestic currency must appreciate in order to equalize real returns on both assets. (Kereya, I. 2002) Rational investors would tend to choose more value over less, and usually prefer to limit and minimize their risk. There are many optimal portfolios offered by dealers and brokers on the forex market that an investor can utilize to support his goals. Over time a balanced portfolio, by diversification, helps to increase investors' chances of success.These portfolios are formed by bringing together groups of assets in different proportions, and then setting out to ascertain the resultant amount of risk and returns associated with each group of assets.A balanced Portfolio investment approach assumes imperfection in assets that are denominated in foreign and domestic currencies. Investors in the foreign exchange market should be able to diversify their investments between domestic and foreign assets, based on the amount of risk and the returns expected. Sterilized intervention in forex alters the relative supply of foreign and domestic funds available, and investors tend to rebalance th eir portfolios, since exchange rates can be affected due to fluctuations in the relative supply of foreign and domestic assets.A balanced Portfolio investment Strategy also aims to achieve the right combination of growth, risk and income for investors that want a management approach that is conservative, and which includes bonds, stocks, and cash. Another channel of sterilized intervention impact in the foreign exchange market is the noise trading approach. Noise traders are traders that utilize statistical or technical analysis in order to forecast the future price of a given asset. unlike traders who consider the fundamental value assets before and buying or selling the assets, These traders try to identify a price trend and also consider the behavioral pattern of fellow traders, using these as a source of information. This though, can lead to a rise to the tendency towards herding. It is also possible to use sterilized foreign exchange intervention to disrupt short-run trends and this might affect the decisions made