In previous post I said Currency value falls due to unhealthy conditions. A predatory behaviour by fortunate on the unfortunate. But in broad context by the government on Govt employees.
The Govt don’t know how to work properly compromising their mental or physical health.
They compensate for it from the citizens. Govt employees more directly.
Iran currency is weakest. There physical health seems ok.
There are 4 Shia countries in this world. Iran, Iraq, Azerbaijan, Behrain.
The shia sunni distinction does not predict level of democracy.
Iran
Very high (Twelver Shia state ideology)
Limited electoral system with strong religious oversight
Supreme Leader and security establishment (especially IRGC)
Council on Foreign Relations
Iraq
Very high (Shia majority, Najaf/Karbala centers)
Most competitive elections among the four, but weakened by corruption and militias
Elected government, parties, and powerful militias share influence
Azerbaijan
Shia-majority population but largely secular state
Authoritarian presidential system
President and ruling elite dominate politics.
Bahrain
Shia-majority population ruled by Sunni monarchy.
If which only Iran is Theocrat. That isolated it.
These are most Closed countries of the world.
Extremely closed
North Korea
Highly closed / authoritarian
Eritrea
Turkmenistan
Semi-closed (politically restricted or sanctioned)
Iran
Russia
Controlled but globally connected
China
The Economic development is as follows
China
High / advanced emerging
Russia
High (but uneven, sanctions-hit)
Iran
Upper-middle, constrained
Turkmenistan
Moderate, resource-based
Eritrea
Low
North Korea
Very low
The import Export data for China is as follows
- China: Largest single market; absorbs roughly 90% of Iran’s oil exports alongside significant amounts of natural gas.
- Turkey: Major buyer of Iranian gas, chemicals, and consumer goods.
- India: Historically a key importer of Iranian crude, now focusing heavily on agricultural products (like fresh fruits and tea) as well as petrochemicals.
- Pakistan & Azerbaijan: Prominent regional buyers of Iranian ethylene polymers, agricultural products, and light manufacturing goods.
The top countries supplying goods to Iran include:
China: Supplies roughly 28-30% of Iran’s imports, dominating in industrial machinery, electronics, and manufactured goods.
United Arab Emirates (UAE): Accounts for about 15-20% of imports. Dubai serves as a crucial de facto logistics and re-export hub for goods destined for Iran.
India: Supplies around 8-9% of imports, heavily focused on pharmaceuticals, agricultural goods, and industrial materials.
Turkey: Makes up about 6-7% of imports, providing food, textiles, and vehicles.
Russia & Germany: Smaller but steady volumes, particularly in industrial supplies, grain, and medical equipment.
Anyway their currency cannot buy in usual sense. So the transaction must be more like barter though not literally.
It looks China, India, Turkey have easily established barter with Iran.
1.)UAE, Russia, Germany only exports.
2.)Pakistan Azerbaijan only imports.
So Iran just act as translation point of the goods. UAE, Russia, Germany are indirect suppliers to Pakistan and Azerbaijan. But because it is not direct Iran is handling all the profit or loss. It must have some benefit for its inflation. Later.
Drop in Currency value
In previous post I mentioned that Currency value drops because it cannot fully solve the problems of barter system. Selling stuff possesses health risk. Stuff becomes cheaper for other countries to import. But inland selling becomes expensive to mitigate health risk to an extent.
Why selling stuff possesses health risk. The necessity value of commodities increases and luxury value decreases. Selling is somewhat a dirty job. So profiting from it in terms of money is not sufficiently healthy psychologically which is core of immunity.
For example USA has the production of most not so necessary product. This is capitalism. Selling has more luxury element.
If inland necessity value of stuff increases, outside it will become more luxury like mangoes will decrease for the country. Why ?
Mango is a fruit. It’s a luxury not necessity. So if becomes more luxury than necessity outer countries would want it cheaper or more luxurious like Japan and Nepal. Not artificially ripened just to increase the necessity like eating.
So things become cheaper to import from such countries translated in drop of currency value.
One more thing – Luxury is valued after its basic utility.
Iran is quite isolated from world. Other countries are also isolated like North Korea, Russia, China. But isolation didn’t translated to inflation thre.
Only in Iran. The only reason I think is theocracy. Of all the most isolated countries Iran is the only one with Theocracy. Also of all the shia majority countries only Iran has theocracy.
It tells me that Theocracy values stuff more for necessity. If a stuff is costly because of its luxury attributes it will not sell or be bought much. Like naturally ripened mangoes. It must not be costly than artificially ripened one. I think I am catching my point. Are you ?
What role does isolation and Shia play in inflation ?
The fact that it has shia majority can have some role. Shia can easily give power to Theocracy which can aggravates it’s deficiencies.
The fact that it is isolated does not make it Theocracy. There are other countries like China, Russia which are isolated but not Theocracy. So Theocracy has no role to play. Other states the Soudi Arabia are partly Theocratic but not isolated.
Isolation is a result not cause of concentrated power at centre. Best Ex is India. It’s just opposite to Iran in this matter. Increasing open trade policy to concentrate power at centre but Just the power not and any economic benefit like USA.
Ok so now is there a relation between Theocracy and devaluing luxury.
Absolute Theocracy is only in Iran, Afghanistan and Vatican City. So Theocracy is not the only cause. It’s because it is Shia it is like this.
Soudi Arabia and Pakistan are close to Theocracies but still have very different situation. This tells that Theocracy along with Shia is the only reason. Other Shia countries are not Theocracy.
So Theocracy plus Shia result in highly devaluing luxury. It is a unique case in this world.
Is this bad or good ?
According to Geeta commodities are means not the End. Means to fulfill the life’s purpose. But life has no purpose. We should do that which needs to be done and not that we want to be done.
What is that should be done ?
To find that first you have to successfully reject the conditioned human instict to fulfill every desire. Animals have limited desires so they don’t need this teaching.
To be able to do that you have to practice Selfless action. While there is no such thing in reality but consciously practicing as much as possible to do things without expectation. After mastering this what you should do with planning, expectation and how much to value luxury and Necessity of different things become clear.
So the Fundamentalist view to devalue luxury completely is false. Equally Fundamentalist view of maximum value luxury is also false.
In India Rupees falling tells me two things.
1.)Luxury items are becoming necessity which means over Consumption if economy is not growing. If economy is growing then its fine.
And Or
2.)Luxury value of items is being compromised for price like Mangoes.It is same as saying valuing the necessity value more than Luxury. It means Adulteration.
So in India (1 or 2) or (1 and 2) in bolean logic.
In Iran (not 1) and 2.
India is similar to Iran wrt to 2 but different wrt 1.
Reason I think is Gold. India has lot of Gold a luxury item with citizens. Iran do not.
This only difference made Iran economy more developed despite hostile conditio But increased inflation a lot.
This difference did not cause difference in power concentration at three centre.
This difference made Iran isolated while India open. Though one was the result and one was cause of the difference.
No Gold with citizen as a luxury was result of isolation while Excess Gold in India was cause of becoming open.
What does this tells ?
It tells that India should close its for incoming gold keeping out going door open while Iran should open its door for incoming Gold keeping out going door closed.
In India outgoing Gold is Gold itself and is true Gold. Incoming Gold is also Gold but is false Gold. Incoming Gold needs to change if not stop.
In Iran outgoing Gold is Gold itself .and so is incoming Gold. But out going Gold is false Gold and needs to change if not stop.
Am I the only one thinking of Oil.
Action is best for service not destruction. Iran is destroying more than servicing the world. America is servicing more than destroying the world.
Inaction is best for research not rest or indecisiveness. If indecisive take any action with calculated risk. Don’t sit idol.
America is more resting than researching in this regard. Iran is more researching for the world in this regard.
All this is related to Strait of Hormuz.
Now what needs to be done ?
America needs to take action. Any action with calculated risk than sitting idle.
Iran needs to fight but only with America and stop bombing it’s neighbours.
Ashwini Singh Chandel is a graduate from NIT Bhopal in ECE currently posted in IGCAR Kalpakkam as Technical officer. He has 8 years experience in NTPC as assistant manager. He shares his unorthodox and unique views on philosophy, politics and science and use psychology to connect it with the general people so more people can be involved with the philosophy and science community and play an active role in policy making process of his country and the world.