The Following Equations Represent a Two-Equation Model:​ Y₁ = β₁₀

question 13

Multiple Choice

The following equations represent a two-equation model:​ y₁ = β_{10 +} α₁y₂ + z₁β₁ + u₁
Y₂ = β_{20 +} α₂y₁ + z₂β₂ + u₂
Where, y₁ and y₂ are the:

• A)​endogenous variables.
• B)​structural error terms.
• C)​exogenous variables.
• D)​intercepts.

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