Arthur Millspaugh

Who was Arthur Millspaugh?

Arthur Chester Millspaugh, PhD, was a former adviser at the U.S. State Department’s Office of the Foreign Trade, who was hired to re-organize the Finance Ministry of Iran from 1922–1927 and 1942-1945.

With his help, Iran became independent of foreign loans to maintain its economy. Back then, the Iranian public viewed the United States as a liberator from British and Russian dominance, as well as the country which would make Iran prosperous and rich. Up until the Cold War, Millspaugh tried, unsuccessfully, to influence the U.S. State Department's policies toward Iran.

He was born at Augusta, Michigan, and educated at Albion College, the University of Illinois, and Johns Hopkins. After teaching political science for two years and working in the drafting office of the United States State Department for three more, he became acting foreign trade adviser in 1921-22. When Persia requested that an American financial adviser be sent to Teheran, Dr. Millspaugh was appointed, and he and his staff reached the Persian capital in November, 1922. He found the Persian treasury empty and the fiscal administration in chaos, but with the help of the Persian authorities and the military, he straightened matters out. A budget was established, taxes were collected, and brigandage greatly diminished.