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So far there is not an appropriate inquiry about social history of Iran. The main cause of this is the shortage of historical sources and often historicians’s indifference to peasant’s lives. But from this age numerous varied sources remained that many of them paid attention to the peasant’s lives. The goal of this inquiry is to analyze the causes of economical regress and its impact upon social situation of this town in that period from the point of view of social history studies and local history. Here we try to recognize the influencing causes of the process of economical and social development of Damghan in the beginnings and the middle of Qajar age.