Due to the construction of large dams in Iran, people living in the vicinity of dams reservoirs are obliged to leave their places of residence. The state proposes two options to the occupants, whether they must settle in pre set up places, or migrate to other regions. Studies show that construction of big dams have contributed to negative economical, social and environmental problems for the occupants in the long run. Similar situation may occur if the Iranian Government constructs a new dam, called Saazbone situated in rural areas of Shirwan Chardavol regions in Elam province, western Iran. There are several villages in the vicinity of the dam which must be evacuated. Therefore, prior to setting up the construction of the dam, a scientific research is carried out to show the affects of the construction of the dam on the future situation of the villagers' livelihood in the area. The research investigated the satisfaction rate of the people (living inside the dam or in its margins) over the construction of the dam. Further, this study evaluated the effective factors on the economic, social and environmental issues of the villagers. Using the preliminary investigation as well as benefiting from the study carried out by the Mahab Ghods Construction Company, a detailed questionnaire was carried out. Statistical tests showed fully the validity and reliability of the questionnaire. Data were collected from 157 families who resided inside or in the margins of the reservoir. Data analysis, using Cross Tabulation and Fisher Exact Test, Pearson Correlation Coefficients, Spearman Rank Correlation Coefficients, Phi and Cramer's V, Regression Analysis, Path Analysis, Hierarchical Cluster Analysis were conducted. The results showed that the willingness of 44.7 percent of the villagers for leaving their homes was low and below the average rates. But the majority of them 55.3 percent were willing to leave the area. Also there was a significant difference among the different social groups in leaving their places of residence. In both statistical communities living inside and the margins of the dam, the variables such as jobs and economical issues and women's willingness to leave their places have shown positive and significant correlation with the dependent variable. Those living in the margins of the dam, besides the above variables, social, ethnic and tribal affiliations were also important. Attachment to the local environment, revenues from agricultural activities in comparison to total family income, has also shown negative and significant correlation with dependent variables. The results of Path Analysis indicated that in the communities living inside the reservoir, ethnic and tribal affiliations, lack of social welfare, women's willingness, social base and job problems was 50.1 percent of of changes in independent variable. In the margins of the dam other variables such as lack of educational facilities, ethic and tribal affiliations