If you were building a macroeconomic model that explores the effect of the aging population on the needed expenditure for social security and health care,the endogenous variable(s)would be the
A) aging population.
B) needed expenditure on social security.
C) needed expenditure on health care.
D) needed expenditure on both social security and health care.

Question

Quizplus · Accepted Answer

The endogenous variables would be the needed expenditure on both social security and health care, as they directly relate to the aging population. The aging population itself would be an exogenous variable in this model.

If You Were Building a Macroeconomic Model That Explores the Effect