At the beginning of the 20th century, both Britain and Russia had spheres of influence in Persia (Iran). This country was rich in oil reserves, but its government was very corrupt. During World War I, Persia became a battlefield for Russian, Turkish, and British troops, and the war left Persia in a state of bankruptcy and chaos. Between 1921 and 1925 a young army officer, Reza Khan, achieved control of the military and became the prime minister. Two year later, a Constitutional Assembly voted to end the ruling dynasty and Reza Khan was declared Shah (king). He became the first ruler of the new Pahlavi dynasty. The ancient empire of Persia thus became the modern nation of Iran.
Reza Shah made many changes in Iran. In education, a Western-style curriculum was introduced, and girls' schools were established for the first time. Women were urged to put aside the veil and divorce laws were changed in their favor. To modernize his country, the Shah supported commerce, transportation, and industry.
The Shah's search for independence from the Soviet Union and Britain drove him closer to Nazi Germany. By 1941 Germany was operating an effective spy system in Iran and the Shah would not allow the Allies to use the Trans-Iranian Railway to send war supplies to the Soviet Union. In 1941 Reza Shah was forced to step down by the Soviets and British in favor of his son Muhammad Reza Shah Pahlavi.
The Shah continued with the modernization process that his father had begun. But the modernization was uneven. As one of the world's largest oil producers in the 1970s, Iran benefited from he oil boom. The Shah of Iran was the main promoter of the first large oil price increases in the 1970s, and Iran's gross national product soared between 1970 and 1977. Money from oil did not benefit everyone. There was a tremendous gap between the rich and poor in Iran, and the number of poor was rising. As the population grew and the movement of people from small villages to large towns added to social unrest, and there was a feeling that the Shah had tried to go too far to fast with his industrial and agricultural reforms. Moreover, the shah was a tyrant who used his secret police and an elaborate network of informers to eliminate any opposition to his regime.
In foreign affairs, Iran's largest supporter was the United States. The Shah's modernization projects brought in Americans and other Westerners and equipment to build his modern state. Iran's geographic location (bordering the Soviet Union and at the headwaters of the Persian Gulf) made Iran strategically important to the United States. Despite the growing resentment of the people to the Shah of Iran, the United States remained one of his staunchest allies in order to balance Soviet power in the region.
Social unrest grew in Iran in 1978, and many people were killed in demonstrations against the government. Shiites known as Mujahhedin opposed the influx of foreigners in Iran. The Western values of foreigners were held in contempt by the Mujahhedin, and they felt that their own values were under attack.
Leading the religious opposition was Ruhollah Khomeini, an Islamic religious man. (called an Ayatollah)
The Ayatollah Khomeini
For many years the Ayatollah had lived in exile in France. Using taped speeches that were smuggled into the country, he built a large following of people who were discontent with the policies of the Shah. In January of 1979, the Shah left the country, never to return. In February of 1979, Khomeini triumphantly returned to Iran, and in April of that year he won a landslide victory in a referendum that made Iran an Islamic Republic. Khomeini eliminated western influence from Iran and implemented Islamic law based on the teachings of the Koran.
The United States was a particular target of Iran because of its close relationship with the Shah. In November of 1979 when then president, Jimmy Carter, allowed the shah to enter the United States for medical treatment, university students in Tehran who supported the revolution took control of the American embassy in Tehran. The students wanted the Shah (and his money) returned to Iran. The hostages were held in Iran for 444 days. This crisis played a major role in the electoral defeat of president Jimmy Carter, and the election of Ronald Reagan.
While Iran was perceived to be weak, Saddam Hussein of Iraq took the opportunity to try to take from Iran some oil rich land along the Shatt-al-Arab. The resulting war lasted 8 years (1980-1988) with no clear victor. During that time, the United States patrolled the Persian Gulf to protect Kuwaiti oil tankards
The Iranian Revolution is one of the most significant events in recent times in the Middle East. This successful rebellion of Islamic fundamentalists has led to an increase in its political and religious influence in the Middle East and North Africa. Many Muslim fundamentalists focus on trying to live up to the ideals of Islam in their daily lives. Others, however, have resorted to violence. They seek to overthrow existing governments and impose their ideal of Islamic society on others. Militant fundamentalists are called Islamists. They reject Western culture and its political and economic imperialism. They reject and call for the destruction of Israel and consider the United States an enemy because it supports Israel.
The effects of Islamists have been seen in recent years in several Middle East countries, and Iran has been accused of exporting terrorism and supporting Islamists in other countries.
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