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Iranian Oil Embargo: Game with Different Scenarios

The EU imposed an embargo on Iranian oil on 23 January, 2012 that will come into full force in July, preventing the members from importing Iranian oil. The embargo was enforced by the UN, EU, USA and other countries in the wake of Western pressure policies. This multiplies sanctions imposed on Iran since 1979. Evidence so far suggests that the previous sanctions worldwide and those imposed on Iran have failed to achieve the expected results. Proposing different scenarios, the study investigates possible consequences of Iranian oil embargo on Iran’s economy and that of world. The results reveal that Iranian oil embargo only leads to an increase in crude oil prices and thus, in effect, is a failed policy of the West.