This book examines the problems of economic growth and structural change in oil-exporting economies by focussing on the experience of Iran. Contrary to the recent literature which views oil income as a hindrance rather than an aid to industrial diversification and growth, Massoud Karshenas argues here that oil income can make a substantial contribution to industrial growth, subject to the adoption of appropriate policy measures. Dr Karshenas provides a wealth of empirical information on Iran, most of it gathered here for the first time in one volume. The main focus of the book is on the process of growth and structural change in Iran between 1953 and 1977. It also contains, however, two detailed chapters which trace the roots of backwardness in the Iranian economy. These serve to highlight the key historical elements which shaped the impact of oil income on the subsequent industrialization experience.