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endogenous definition: The definition of endogenous is coming from the inside. (adjective) An example of something endogenous is a tumor that is caused by conditions inside the body not by externally-introduced conditions such as smoking. ...
What is an 'Endogenous Variable'. An endogenous variable is a classification of a variable generated by a statistical model that is explained by the relationships between functions within the model. For example, the equilibrium price of a good in a supply and demand model is endogenous because it is set by a producer in response to consumer demand. It is the opposite of an exogenous variable.