Employment effects of economic sanctions in Iran

This paper investigates the effect of economic sanctions on employment. We exploit imposition a series unexpected and unprecedented international Iran in 2012 estimate short-run effects change import exposure manufacturing employment at industry level. Our estimates indicate that led to an overall decline growth rate by 16.4 percentage points. However, we uncover significant asymmetric across industries with different ex-ante shares. Interestingly, are mostly driven labor-intensive heavily depend imported inputs. suggests negative impact might be largely due productivity experienced high propensity inputs from abroad.