The interaction between anesthesia and binocular physiology was explored using chronic monocular paralysis. Monocular paralysis allows analysis and classification of lateral geniculate nucleus (LGN) cells without systemic paralysis and anesthesia and also produces a tonic bias in binocular mechanisms which control the relative recordability of X- and Y-cells (i.e. the LGN X/Y ratio). This effect appears to be reversed by the induction of anesthesia. In this study we (1) assessed the effects of anesthesia induction and withdrawal upon the X/Y ratio in a large number of chronic monocularly paralyzed cats, and (2) evaluated the degree to which a change in excitability versus a change in functional identity in individual LGN cells may contribute to these anesthesia-induced shifts in the X/Y ratio. Although anesthesia induction invariably increased the X/Y ratio (which is typically quite low in chronic monocular paralysis), it never caused a reliable shift between X- and Y-categories in any cell. Congruent with its effects upon the X/Y ratio, however, anesthesia induction increased excitability in 73% of X-cells and decreased excitability in 55% of Y-cells. Control experiments indicated that these systematic effects of anesthesia are not characteristic of normal animals but are specific to those with chronic monocular paralysis. Thus, the induction of anesthesia does reverse the effects of chronic monocular paralysis upon the LGN X/Y ratio apparently by inducing reciprocal changes in X- and Y-excitability. Further, while we find no evidence that anesthesia produces a qualitative distortion in the monocular properties of LGN cells, the induction and withdrawal of anesthesia does appear to modulate the operation of binocular processes controlling the recordability of LGN X- and Y-cells.