Events today in Iran provided another spurt of arousal among neocons longing to bring back the Shah and eliminate the mullahs. Here's a summary of the various news reports:

On December 30, 2025, protests in Iran entered their third day, spreading from initial economic grievances in Tehran's Grand Bazaar to universities and multiple cities across the country. Triggered by the Iranian rial plunging to record lows (around 1.38–1.42 million to the USD) and inflation hitting 42.2–42.5%, demonstrations began with shopkeepers and merchants striking and closing businesses, evolving into broader anti-government chants.

Protests expanded beyond Tehran to cities including Isfahan, Shiraz, Mashhad, Hamadan, Karaj, Qeshm, Malard, Kermanshah, and Yazd. University students joined on Tuesday, chanting slogans like "Death to the dictator" (referring to Supreme Leader Ali Khamenei), calls for freedom, and pro-monarchy references (e.g., "Long live the Shah" or "Rest in peace Reza Shah").

President Masoud Pezeshkian acknowledged "legitimate demands," instructed the interior ministry to dialogue with protest representatives, and pledged economic reforms. The central bank governor resigned, replaced by Abdolnasser Hemmati. Officials offered talks but warned against escalation or foreign exploitation.

Hmmm… What's really going on? Turns out that Nima Alkorshid, the host of Dialogue Works, is on an extended family vacation in Tehran. It has been 12 years since he was last in Iran. I know one thing for certain… His mom is thrilled to have her son, his wife and her grandchildren in Tehran. Anyway, I called Nima and asked him what he was seeing.

According to Nima, there is frustration with the government, i.e., Pezeshkian, over the high inflation and that is one impetus driving the protests. However, it is not directed at the Islamic regime despite Western press reports claiming otherwise. Nima also pointed out that about 25% of the population is quite conservatie (these are the folks who supported Ahmadinejad) and they are angry with Pezeshkian because he is viewed as too accommodating of the West. These folks, while miffed at the government, are staunch supporters of the Ayatollah Khameni.

There is video evidence corroborating Nima's observations. In one clip an Iranian student protester explains the reasoning behind the demonstrations, stating that they are not opposed to the Islamic Republic, but rather to corruption among government officials who are worsening the economic crisis. He says:

This is the voice of an Iranian Basiji. I would sacrifice myself for this homeland. I would give my life for the Islamic Republic. Our protest is against people like Ali Ansari and other corrupt officials. Mr. Ejei [Chief of the Judiciary], where are you?

I was pleasantly surprised by Pezeshkian's reaction to the protests… Instead of beating the hell out of the protestors and tossing them into prison, he acknowledged the legitimacy of their complaints and fired the central bank governor while promising economic reforms. Seems like a pretty reasonable response to me.

I believe that Russia and China — who have denounced and rejected Europe's attempt to reimpose economic sanctions on Iran — are working on measures to boost the Iranian economy and get inflation under control. While there is no denying that Iran's economy has been badly damaged because of Western sanctions — which both Russia and China supported in 2015 as part of the JCPOA — Iran, by virtue of is membership in BRICS and closer economic, political and military ties with Russia and China, is in a stronger position now to revive the economy.