In the Context of Simultaneous Equations Modelling, Which of the Following

question 11

Multiple Choice

In the context of simultaneous equations modelling, which of the following statements is true concerning an exogenous variable?

• A) The values of exogenous variables are determined within the system
• B) The exogenous variables are assumed to be fixed in repeated samples
• C) Reduced form equations will not contain any exogenous variables on the RHS
• D) Reduced form equations will contain only exogenous variables on the LHS

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Definitions:

Supplier's Account

An account used to record transactions and balances owed to suppliers.

Customer Account

An account representing the ongoing transactions, balances, and records of purchases and payments between a company and its customer.

Customer Account

An account maintained by a business for each customer to track transactions, balances, and other relevant information.

Supplier's Account

An account kept by a business to record transactions (like purchases and payments) related to a specific supplier.