If you were building a macroeconomic model that explores the effect of the increase in interest rates on the inflation rate in Great Britain, interest rates would be an ________ variable and the inflation rate would be an ________ variable
A) endogenous; endogenous
B) endogenous; exogenous
C) exogenous; exogenous
D) exogenous; endogenous
D
You might also like to view...
Refer to Table 9-3. Assume the market basket for the consumer price index has three products — Cokes, hamburgers, and CDs — with the following values in 2011 and 2016 for price and quantity: The Consumer Price Index for 2016 equals
A) 75. B) 93. C) 108. D) 121.
Taking action to reveal private information about someone else is called:
A. screening. B. signaling. C. discriminating. D. illegal.
Which of the following elements are commonly emphasized by people who criticize advertisements?
a. increases elasticity; harms competition; manipulates consumer tastes b. increases elasticity; provides service information; causes demonstration effect c. provides service information; causes demonstration effect; manipulates consumer tastes d. harms competition; causes demonstration effect; manipulates consumer tastes
Explain the concept of diminishing returns.
What will be an ideal response?