A factor is endogenous when:
a. It fluctuates in a narrow band around its long term value.
b. It is not determined by the forces of supply and demand in any of the three macroeconomic markets.
c. It is determined by the forces of supply and demand in any of the three macroeconomic markets.
d. It is under full control by the central bank and/or the government.
e. The central bank and the government have no means to influence it.
Question 2
What is the difference between Nominal GDP and Real GDP?
a. Real GDP is a figure adjusted for exchange rate differences among countries.
b. Real GDP is a figure adjusted for inflation.
c. There is no difference at all. Real GDP is a synonym for Nominal GDP.
d. Real GDP measures goods and services produced within a nation's borders, and nominal GDP measures goods and services produced by domestic resources anywhere in the world
e. Nominal GDP is a better measure of a nation's economic health (i.e., standard of living) than Real GDP.
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