Estimation of the Impact Factor of Monetary Base Resources on Liquidity in the Iranian Economy

In the economic literature, increasing each of the components of the monetary base by the same coefficient called the multiplier increases liquidity. But in reality, the degree of impact of each component of the monetary base on liquidity may be different. If so, in addition to the monetary base, the composition of the monetary base components can also affect liquidity.Therefore, the present study seeks to investigate the impact of each of the monetary base components on liquidity. To do this, the research model was designed based on theoretical foundations. Data for the period 1978-2018 were collected from the time series database of the Central Bank. The model was estimated by Johansen-Joslius cointegration method. The results showed that all components of the monetary base have a positive and significant effect on liquidity. But the degree of impact or in other words the impact factor of these components are different from each other. So that banks' debt to the central bank with a coefficient of 8.146 has the greatest impact on liquidity. The net debt of the government to the central bank with a coefficient of 2.292 is in the second place and the foreign assets of the central bank with a coefficient of 1.499 have the least impact on liquidity.In terms of the impact on liquidity, the variable of banks' debt to the central bank varies approximately 3.5 times the net government debt to the central bank and 5.5 times the foreign assets of the central bank affect liquidity.