The Effect of Anticipated and Unanticipated Cash on Economic Growth of Iran

This subject is important for economic decisions that can be effective monetary policy (Anticipated and Unanticipated Liquidity) in resolve of output shortage?The aim of this paper analyses the effective factors on economic growth in Iran by Using time series methods and in (1978-2008) period endogenous growth model.Results show that the ratio of private investment to real GDP(-1), ratio of government investment to real GDP(-1), the effective labor growth and anticipated Liquidity growth have a positive effect on economic growth. But the effect of unanticipated Liquidity growth on economic growth isn’t significant.