Which of the following is not an endogenous variable in the IS-LM model?
A) interest rate
B) price level
C) output
D) none of the above

Question

Quizplus · Accepted Answer

In the IS-LM model, the endogenous variables are those determined within the model itself, which typically include the interest rate and output. The price level, however, is considered an exogenous variable in the basic IS-LM framework, meaning it is determined outside the model and treated as given.

Which of the Following Is Not an Endogenous Variable in the IS-LM