Some of the criteria for deciding whether a group of economies constitute an optimum currency area are probably endogenous.

Question

Quizplus · Accepted Answer

Endogenous criteria are those that emerge from the interactions and characteristics of the economies themselves, which may change over time and affect the viability of an optimum currency area. These criteria include factors such as the degree of economic integration, the similarity of shocks and business cycles, and the flexibility of labor and capital markets.

Some of the Criteria for Deciding Whether a Group of Economies