Honking Market and State and Vicious Circle of Underdevelopment in Iran

The supreme leaders’ instructions regarding the article 44 of Iran’s Constitution was mainly to remove obstacles on the way of privatization and creation of competitive condition. The outcome, however, seems to be misinterpreted as the main consideration of the authorities have been concentrated on the transfer of the ownership and property under the pressure of vested interest groups and sent-taking activities, leaving aside the necessary infrastructure and institutions as required for and effective competitive conditions completely untouched. In this paper while discussing these points we suggest that the parliament should return the bill to the government for further study and provision of precondition needed for its implementation.