Why is this a simultaneous-equations model? (2 pts)

The following two equations represent a simple wage-price model:
Wt=??0+??1????+??2????+??1?? ????=??0+??1Wt+??2??
Where ???? is the wage in time period t, P represents prices, and Q is productivity.
a) Why is this a simultaneous-equations model? (2 pts)
b) Which are the endogenous and... Read More https://is.gd/kpiLr0

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