Author Question: Which of the following is an endogenous variable in the Three-Sector-Model? a. Wars b. Tax rate ... (Read 91 times)

rayancarla1 · **on:** Jun 30, 2018

Which of the following is an endogenous variable in the Three-Sector-Model?
a. Wars
b. Tax rate increases by the government
c. A change from flexible to fixed exchange rates
d. Domestic quantity of real credit per time period
e. All of the above are endogenous

Question 2

Predicting the future is very difficult to do. Which of the following is not a reason for this difficulty?
a. Economists often use historic trends to predict the future, but these historic trends rarely stay the same.
b. Economists often use historic interrelationships to predict the future, but these interrelationship trends rarely stay the same.
c. A very broad range and combination of economic variables can influence the economic activity.
d. Economists often use major historic shocks (such as energy crises) to predict the future, but these major shocks occur irregularly.