Changes

In January 1953 the Iranian parliament extended Mossadegh's dictatorial powers. The following month, Mossadegh denounced the Shah for intrigues with "foreign interests".  On February 28 the Shah announced he would abdicate "for reasons of health".  Serious riots followed when the Shah's supporters clashed with Mossadegh's supporters in the streets.  The Shah cancelled his plan of abdication.  Meanwhile, the United States ambassador presented proposals to end the impasse with Great Britain, one proposal was for a consortium of oil companies to replace Anglo-Iranian Oil Company and buy from Iran's nationalized industry.  Mossadegh rejected the suggestion and continued to complain about the boycott.

In January 1953 the Iranian parliament extended Mossadegh's dictatorial powers. The following month, Mossadegh denounced the Shah for intrigues with "foreign interests".  On February 28 the Shah announced he would abdicate "for reasons of health".  Serious riots followed when the Shah's supporters clashed with Mossadegh's supporters in the streets.  The Shah cancelled his plan of abdication.  Meanwhile, the United States ambassador presented proposals to end the impasse with Great Britain, one proposal was for a consortium of oil companies to replace Anglo-Iranian Oil Company and buy from Iran's nationalized industry.  Mossadegh rejected the suggestion and continued to complain about the boycott.

On July 19 Mossadegh disolved the Majlis and called for a plebiscite on August 2.  The Tudeh party, which was staging violent demonstrations in the streets, by the end of July openly supported Mossadegh while the [[Soviet Union]] offered desperately needed economic assistance.  Mossadegh received 99.4 per cent of the vote and on August 8 Soviet Premier [[Georgy Malenkov]] told the [[Supreme Soviet]] the Soviet Union had been conducting negotiations witgh Iran since June and had concluded a series of agreements on border, aid, and trade issues.  The Shah, who still held the position of [[Head of State]], asked for the resignation of the government and appointed a successor.

On July 19 Mossadegh disolved the Majlis and called for a plebiscite on August 2.  The Tudeh party, which was staging violent demonstrations in the streets, by the end of July openly supported Mossadegh while the [[Soviet Union]] offered desperately needed economic assistance.  Mossadegh received 99.4 per cent of the vote and on August 8 Soviet Premier [[Georgy Malenkov]] told the [[Supreme Soviet]] that the Soviet Union had been conducting negotiations with Iran since June and concluded a series of agreements on border, aid, and trade issues.  The Shah, who still held the position of [[Head of State]], asked for the resignation of the government and appointed a successor.

When Mossadegh received word, he began mass arrests. Two days of chaos ensued. Rioters smashed statues of the Shah and his fahter and screamed, "Death to the Shah!"  With assurances from the CIA, the Iranian Army turned against the officers Mossadegh installed, and drove rioters off the streets.  On August 19, Mossadegh turned himself over to the Shah's forces and was jailed along with Tudeh leaders.  In December he was sentenced to three years in solitary confinement.  Iranian economy and living standards of the people gradually recoverd as oil exports regained a market share which had been decimated during the previous two years.  The Shah expressed his understaing of the importance of Iran's position in the region and the world as a bulwark against Soviet expansionism.

When Mossadegh received word, he began mass arrests. Two days of chaos ensued. Rioters smashed statues of the Shah and his fahter and screamed, "Death to the Shah!"  With assurances from the CIA, the Iranian Army turned against the officers Mossadegh installed, and drove rioters off the streets.  On August 19, Mossadegh turned himself over to the Shah's forces and was jailed along with Tudeh leaders.  In December he was sentenced to three years in solitary confinement.  Iranian economy and living standards of the people gradually recoverd as oil exports regained a market share which had been decimated during the previous two years.  The Shah expressed his understaing of the importance of Iran's position in the region and the world as a bulwark against Soviet expansionism.