During his 37 years in power, the Shah spent billions of dollars on various sectors, including industry, education, healthcare, and the military. His regime’s economic growth, particularly in the oil sector, helped increase national income by an astounding 423 times. This massive growth in national income resulted in significant improvements in per capita income, with Iranians enjoying some of the highest levels of income in the country’s history. Urbanization also accelerated, with more and more people moving from rural areas to cities in search of work and better living conditions.
However, these achievements were not without their costs. The economic growth driven by the Shah’s policies largely benefited the urban elite and the newly-formed industrial class, while the rural population and the working poor saw little improvement in their circumstances. While the country’s economy boomed, many Iranians felt increasingly disconnected from the prosperity around them. The trickle-down model had failed to reach the vast majority of the population, and instead, the wealth became more concentrated among the elite. This created significant social unrest, as many felt left behind by the regime’s economic policies.