Endogenous variables are:
A) determined outside the model.
B) determined within the model.
C) the inputs of the model.
D) from outside the model.

Question

Quizplus · Accepted Answer

Endogenous variables are determined within the model itself, as they are the variables that are being studied and analyzed in the model. In contrast, exogenous variables are determined outside the model and are often used as inputs or external factors that influence the endogenous variables. Therefore, the correct choice is B, which states that endogenous variables are determined within the model.

Endogenous Variables Are