Quote:

Security forces flooded Iran's capital in a warning against possible unrest as fuel prices surged 400 percent Sunday under plans to sharply cut government subsides and ease pressure on an economy struggling with international sanctions....

http://www.google.com/hostednews/ap/article/ALeqM5ip7ByMH1H6fu-nNheHnSfbuZgnZw?docId=545ecdb1d7b14df39efaaf3a073f317e

Does Ahmadinejad try to prevent Christmas celebration in Iran or do sanctions start to work?

Quote:

Economists say the unpopular plan to slash subsidies could stoke inflation already estimated to be more than 20 percent. One lawmaker said he had expected the extent of price rises overnight to happen gradually over five years. "I am surprised. We do not know what happened," the lawmaker told The Associated Press on condition of anonymity because he was not authorized to comment. "The price of fuel was supposed to reach about international prices within the next five years and not this year."

Quote:

Ahmadinejad also said his government was paying $4 billion in bread subsidies, which will also gradually be phased out. Ahmad Bakhshayesh, a Tehran University professor of politics, said it was too soon to gauge the public reaction to the cuts, and popular unrest could still erupt. "We have to wait and see how inflation will affect their lives," he told AP.

Well it's certainly not cheap sending missiles and weapons to Hezbollah in Lebanon, and other terrorist groups in the Middle East free of charge.
This level of state sponsored terrorism, the cost of nuclear reactors etc tend to drain a budget. ;)