India, Aug. 21 -- US-Israel-Iran War Latest News: Iran's economy is facing an extraordinary squeeze, with soaring prices, a weakening rial, disrupted trade and damage to critical infrastructure hitting households across the country. Yet, despite months of war and years of sanctions, the economy continues to function rather than entering a full-scale collapse.

Iran's largest domestic market, non-oil industries, informal economy and alternative trade networks have helped keep goods and services moving, although ordinary people are trying a growing price.

Recent economic assessments also point to severe inflation and a sharp contraction in output, showing that avoiding collapse does not mean the economy is healthy.

Why Has Iran's Economy ...