and Russia competed for influence in Iran, thus
exposing it to increased Western influence.
The constitUtional revolUtion of 1905–11
declared the advent of modernity by challenging
the absolute rule of the monarch. At the same
time, William Knox D’Arcy, a wealthy English
investor, discovered oil in southwestern Iran in
1908, and in 1909, the Anglo-Persian Oil Com-
pany was founded. This company was renamed
the Anglo-Iranian Oil Company in 1935, and it
became British Petroleum in 1954. Oil revenues
helped finance Iran’s modernization during the
20th and 21st centuries.
The Pahlavi monarchy (1925–78) emerged
as a result of the social and political turmoil of
the constitutional era. The first Pahlavi monarch,
reza shah pahlavi (1878–1944) established a
despotic, centralized modern state. Emulating
what mUs taFa kemal atatUrk (d. 1938) was
doing in Turkey in the 1920s, he sought to intro-
duce modern industry and implement economic
and social reforms. It was during his reign, also,
when the country’s ancient name Persia officially
became Iran, a name based on Aryan, the name of
an ancient Indo-European people. In time, due in
part to the impact of oil wealth, the Pahlavis pro-
duced drastic economic and cultural discrepan-
cies among the people. In 1941, Reza Pahlavi was
deposed by British and Soviet forces who occupied
the country fearing he would become an ally of
Nazi Germany. They replaced him with his young
son, mohammad reza shah pahlavi (r. 1941–78),
who allowed Iran to become a close ally of the
United States after World War II. In 1951, nation-
alist democratic elements were strengthened by
the election of Muhammad Mossadegh (d. 1967)
as prime minister. When he moved to national-
ize Iranian oil production, British and American
covert operatives arranged for him to be removed
from office in 1953, thereby strengthening the
Shah’s hold on the country. During the 1960s,
with U.S. support, he introduced the White Revo-
lution, a large-scale modernization program that
surpassed anything his father had done. This pro-
gram angered elements of the Iranian populace,
especially the Shii religious authorities, the tradi-
tional merchant class (the bazaaris), and leftists.
Pahlavi rule was brought to an end in 1979
as a result of massive public demonstrations and
national strikes that were held for more than a
year. The demonstrators were ordinary people
from all walks of life and varied political and
religious affiliations. Their undisputed demand
was democratic rights and an end to the Pahlavi
monarchy. This notwithstanding, the religious
faction of the revolutionary movement under
the leadership of Ayatollah rUhollah khomeini
(1901?–89) established itself as the state author-
ity by eliminating opposition groups and intel-
lectuals who posed a challenge to them and by
holding a national referendum that imposed
a choice between monarchy and an IslamicIranian youth reads Quran at home. Framed pic-
tures on mantle (left to right): Ayatollah Muhammad
Beheshti, the Shahada, Ayatollah Ruhollah Khomeini
(National Geographic Magazine)Iran 363 J