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Exogenous growth |
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Exogenous growthEconomic growth that occurs without being the result of deliberate policy or behavior. The term arises because neoclassical growth models converge to a steady state in which per capita income is constant over time. Growth, then, requires exogenous technical progress.Similar MatchesExogenousExogenousComing from outside, usually in the context of an economic model, in which it means only that it is not explained within the model. Exogenous variableExogenous variableA variable whose value is determined outside the model in which it is used. Related: Endogenous variable ExogenousExogenousDescribes facts outside the control of the firm. Converse of endogenous. Exogenous variableExogenous variableA variable that is taken as given by an economic model. It therefore is subject to direct manipulation by the modeler. In most models, policy variables such as tariffs and par values of pegged exchange rates are exogenous. Contrasts with endogenous variable. |
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