The distinction between exogenous and endogenous variables is important because:
a. Endogenous variables are real factors while exogenous variables are nominal factors.
b. Endogenous variables are fixed by definition.
c. Exogenous variables are fixed by definition.
d. Endogenous variables are determined within the Three-Sector-Model while exogenous variables are not. Endogenous variables are therefore treated as shocks to the Three-Sector-Model.
e. Endogenous variables are determined within the Three-Sector-Model while exogenous variables are not. Exogenous variables are therefore treated as shocks to the Three-Sector-Model.
.E
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A) 100. B) 4. C) 160. D) 8.
According to traditional Keynesian economics, contractionary fiscal policy initiated by the federal government
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A. unions working with businesses to establish wages. B. car manufacturers establishing suggested retail prices. C. McDonald's fries being the same everywhere. D. New York City's rent control program.
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