Exogenous Variables

Federal Government, g
(Main Variables)

  • COG - Purchases of goods (real)
  • D1G - Personal income tax parameter
  • D2G - Profit tax rate
  • D3G - Indirect business tax rate
  • D4G - Employee social security tax rate
  • D5G - Employer social security tax rate
  • JG - Number of civilian jobs (millions)
  • JM - Number of military jobs (millions)
  • TRGH - Transfer payments to households (nominal)
  • TRGS - Grants in aid to state and local governments (nominal)
  • CTGB - Capital transfers to financial business (nominal)

    State and Local Government, s
    (Main Variables)

  • COS - Purchases of goods (real)
  • D1S - Personal income tax parameter
  • D2S - Profit tax rate
  • D3S - Indirect business tax rate
  • JS - Number of jobs (millions)
  • TRSH - Transfer payments to households (nominal)

    Foreign Sector, r
    (Main Variables)

  • EX - Exports (real)
  • PIM - Import price index
  • TRGR - Transfer payments from the federal government (nominal)

    Other Exogenous Variables
    (time dummy variables not included)

  • AG1 - Percent of 16+ population 26-55 minus percent 16-25
  • AG2 - Percent of 16+ population 56-65 minus percent 16-25
  • AG3 - Percent of 16+ population 66+ minus percent 16-25
  • BO - Bank borrowing from the Fed (nominal)
  • BR - Total bank reserves (nominal)
  • CCB - Capital consumption, b (real)
  • CCG - Capital consumpiton, g (nominal)
  • CCH - Capital consumpiton, h (nominal)
  • CCS - Capital consumpiton, s (nominal)
  • CDA - Peak to peak interpolation of CD/POP
  • DB - Net dividends paid, b (nominal)
  • DELD - Depreciation rate of durable-goods stock
  • DELH - Depreciation rate of housing stock
  • DELK - Depreciation rate of firms' capital stock
  • DG - Net dividends paid, g (nominal)
  • DISB - Discrepancy, b (nominal)
  • DISBA - Discrepancy between NIPA and FFA data on capital consumption (nominal)
  • DISF - Discrepancy, f (nominal)
  • DISG - Discrepancy, g (nominal)
  • DISH - Discrepancy, h (nominal)
  • DISR - Discrepancy, r (nominal)
  • DISS - Discrepancy, s (nominal)
  • DR - Net dividends paid, r (nominal)
  • DS - Net dividends paid, s (nominal)
  • FA - Farm gross product (real)
  • FIROW - Payments of factor income to the rest of the world (nominal)
  • FIROWD - FIROW price index
  • FIUS - Receipts of factor income from the rest of the world (nominal)
  • FIUSD - FIUS price index
  • HFS - Peak to peak interpolation of HF
  • HG - Average number of hours paid per civilian job, g (hours per quarter)
  • HM - Average number of hours paid per military job, g (hours per quarter)
  • HS - Average number of hours paid per job, s (hours per quarter)
  • IGZ - Gross investment, g (nominal)
  • IHB - Residential investment, b (real)
  • IHF - Residential investment, f (real)
  • IHHA - Peak to peak interpolation of IHH/POP
  • IKB - Nonresidential fixed investment, b (real)
  • IKFA - Peak to peak interpolation of IKF
  • IKG - Nonresidential fixed investment, g (real)
  • IKH - Nonresidential fixed investment, h (real)
  • INS - Insurance credits to households from g (nominal)
  • INTZ - Net interest payments, other (nominal)
  • INTS - Net interest payments, s (nominal)
  • ISZ - Gross investment, s (nominal)
  • IVA - Inventory valuation adjustment (nominal)
  • JJP - Potential value of JJ
  • LAM - Amount of output capable of being produced per worker hour
  • MDIF - Demand deposit difference variable (nominal)
  • MG - Demand deposits and currency, g (nominal)
  • MH - Demand deposits and currency, h (nominal)
  • MR - Demand deposits and currency, r (nominal)
  • MS - Demand deposits and currency, s (nominal)
  • MUH - Amount of output capable of being produced per unit of capital
  • PFA - Price index for FA
  • PIEB - Before tax profits, b (real)
  • POP1 - Noninstitutional population of men 25-54 (millions)
  • POP2 - Noninstitutional population of women 25-54 (millions)
  • POP3 - Noninstitutional population of all others 16+ (millions)
  • PSI1 - Ratio of PEX to PX
  • PSI2 - Ratio of PCS to (1+D3G+D3S)PD
  • PSI3 - Ratio of PCN to (1+D3G+D3S)PD
  • PSI4 - Ratio of PCD to (1+D3G+D3S)PD
  • PSI5 - Ratio of PIH to PD
  • PSI6 - Ratio of PIK to PD
  • PSI7 - Ratio of PG to PD
  • PSI8 - Ratio of PS to PD
  • PSI9 - Ratio of PIV to PD
  • PSI10 - Ratio of WG to WF
  • PSI11 - Ratio of WM to WF
  • PSI12 - Ratio of WS to WF
  • PSI13 - Ratio of gross product of g and s to total employee hours of g and s
  • PSI14 - Ratio of PKH to PD
  • Q - Gold and foreign exchange, g (nominal)
  • RNT - Rental income, h (nominal)
  • SIFS - Employer social insurance contributions, f to s (nominal)
  • SIGG - Employer social insurance contributions, g to g (nominal)
  • SIHS - Employer social insurance contributions, h to s (nominal)
  • SISS - Employer social insuracne contributions, s to s (nominal)
  • STAT - Statistical discrepancy (nominal)
  • STATP - Statistical discrepancy relating to the use of chain price indices (real)
  • SUBG - Subsidies less current surplus of government enterprises, g (nominal)
  • SUBS - Subsidies less current surplus of governemnt enterprises, s (nominal)
  • T - Time trend (1 in 1952:1, 2 in 1952:2, etc.)
  • TAUG - Progressivity tax parameter in personal income tax equation for g
  • TAUS - Progressivity tax parameter in personal income tax equation for s
  • TAXFR - Taxes, f to r (nominal)
  • TBG - Corporate profit taxes, b to g (nominal)
  • TBS - Corporate profit taxes, b to s (nominal)
  • TRFG - Transfer payments, f to g (nominal)
  • TRFH - Transfer payments, f to h (nominal)
  • TRFR - Transfer payments, f to r (nominal)
  • TRFS - Transfer payments, f to s (nominal)
  • TRHR - Transfer payments, h to r (nominal)
  • TXCR - Dummy variable for the investment tax credit
  • WLDF - Wage accruals less disbursements, f (nominal)
  • WLDG - Wage accruals less disbursements, g (nominal)
  • WLDS - Wage accruals less disbursements, s (nominal)

    Normally Endogenous Variables
    (It is pointless to modify these variables unless you drop the associated equation)

  • CS - Service consumption
  • CN - Nondurable consumption
  • CD - Durable consumption
  • IHH - Housing investment, h
  • L1 - Labor supply, M 25-54
  • L2 - Labor supply, F 25-54
  • L3 - Labor supply, other
  • LM - Moonlighters
  • PF - Price deflator,f
  • Y - Production, f
  • IKF - Investment, f
  • JF - Number of jobs, f
  • HF - Hours per job, f
  • HO - Overtime hours
  • WF - Wage rate, f
  • MF - Money demand, f
  • DF - Net dividends paid, f
  • INTF - Interest paid, f
  • CCF - Capital consumption, f
  • RB - Bond rate
  • RM - Mortgage rate
  • CG - Capital gains
  • CUR - Currency demand
  • IM - Imports
  • UB - Unemployment benefits
  • INTG - Interest paid, g
  • RS - Bill rate