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Table 1 Estimable Data Structure (1996:1-2013:2) Variables Definition and Measurement Sources Endogenous variables Output Log of seasonally adjusted Authors calculation aggregate as well as sectoral based on RBI output at factor cost at 2004- Database 05 price Price (2) Log of wholesale price index Authors calculation at 2004-05 price based on RBI Database INT (3) Overnight weighted call money RBI Database rate deflated by GDP deflator Exogenous variables USGDP Log of seasonally adjusted GDP Federal Reserve Bank of the USA at factor cost at of St.
Endogenous variable, 'Fitness of ferry' signifies the physical features and appearance of ferry which is described by four physical features and appearance defining exogenous variables (item 4 - item 7, Table 3).
Compared to discrete choice models and multivariate regression models, SEM is more capable of handling the complex relationship among endogenous and exogenous variables and identifying the direct, indirect, and total effects [35].
Also, we add in a constant, the industrial production index and hydrology as exogenous variables. Figures 4 and 5 show the monthly trends of hydrology and IPI, two typical exogenous variables in the period under consideration.
As all P-Values for path coefficients between exogenous variables (SHEM, and EA) and endogenous variable (EA) are less than (0.05).
Constant term and debt is considered as exogenous variable. Figure 1 shows the accumulated impulse response function of D(GDP) to a shock in D(GEXP) and D(TAXES).
Hence a linear regression may not be the best modeling tool to find the causal relationship between the endogenous and exogenous variables.
Previous studies treat PU and PEU as exogenous variables and draw a covariance line between them (Chang, 2004; Wynne W Chin et al., 2008; Johnson, 2005).
In order to analyse the structure of the extensive and intensive margins of the Norwegian imports, we fit a seemingly unrelated regression (SUR) model of the HHI for the Norwegian imports using exogenous variables of the number of Norwegian export countries and Norway's revenue from export.
In the fourth column, the exogenous variables affecting the participation include distance as well as other variables which also affect household earnings.
The exogenous variables are the real input prices of the firms, the consumers' real disposable income, and a dummy capturing the seasonality of demand.