Due to the structure of Iran’s economy, oil revenues do not have a multi-dimensional role rather than a one …-dimensional role in inflation. To put it differently, oil revenues impact inflation through exchange rate, government budget … contradictory effects on inflation. Therefore, investigating and analyzing the pass-through of oil shocksinto inflation and …

1908-2010. It is shown that although oil has been produced in Iran over a very long period, its importance in the Iranian … revenues when managed appropriately are a blessing, but their volatility (which in Iran is much higher than oil price … volatility) can have adverse effects on real output, through excessively high and persistent levels of inflation. Lack of …