Columbia International Affairs Online: Working Papers

CIAO DATE: 03/2013

Spider Web: The Making and Unmaking of Iran Sanctions

February 2013

International Crisis Group

Abstract

With war a frightening prospect and fruitful negotiations a still-distant dream, sanctions have become the West’s instrument of choice vis-à-vis Iran. They are everywhere: in the financial arena, barring habitual commercial relations; in the oil sector, choking off Tehran’s principal source of currency; in the insurance sector, thwarting its ability to transport goods. Without doubt, they are crippling Iran’s economy. But are they succeeding? By at least one important criterion (the intensity of Western concern over nuclear progress), plainly they are not. Add to this myriad unintended consequences (bolstering the regime’s ability to allocate goods; harming ordinary citizens; pushing leaders persuaded the goal is regime change to escalate its own retaliatory steps; and constructing a web of punitive measures harder to unknot than to weave). Sanctions are not necessarily counterproductive. But, too easily they become a path of least resistance, a tool whose effectiveness is assessed by the harm inflicted, not how much closer it brings the goal. In future cases, policymakers should make sure to constantly re-evaluate their effects. For now, the priority is devising a menu of meaningful, realistic sanctions relief to match meaningful, realistic nuclear concessions.