Question

Q4. A small economy has three main industries which are steel, motor vehicles and construction. The industries are interdependent. Each unit of steel output requires 0.2 units from steel, 0.3 units from motor vehicles and 0.4 units from construction. A unit of motor vehicles output requires 0.2 units of steel, 0.4 units from motor vehicles and 0.2 units from construction. A unit of construction output requires 0.3 units of steel, 0.4 units from motor vehicles and 0.1 units from construction. The final demand is 20 million units from steel, 50 million units from motor vehicles and 30 million units from construction. a) Determine the technical coefficient matrix b) If the final demands from steel drops by 2 million units and that from motor vehicles increases by 10 million units, but there is no change in the final demand from construction, what would be the change in the total output of constructions?

          Q4. A small economy has three main industries which are
steel, motor vehicles and construction. The industries are
interdependent. Each unit of steel output requires 0.2 units
from steel, 0.3 units from motor vehicles and 0.4 units from
construction. A unit of motor vehicles output requires 0.2
units of steel, 0.4 units from motor vehicles and 0.2 units
from construction. A unit of construction output requires 0.3
units of steel, 0.4 units from motor vehicles and 0.1 units
from construction. The final demand is 20 million units
from steel, 50 million units from motor vehicles and 30
million units from construction.
a) Determine the technical coefficient matrix
b) If the final demands from steel drops by 2 million
units and that from motor vehicles increases by 10
million units, but there is no change in the final
demand from construction, what would be the change
in the total output of constructions?

Q4. A small economy has three main industries which are
steel, motor vehicles and construction. The industries are
interdependent. Each unit of steel output requires 0.2 units
from steel, 0.3 units from motor vehicles and 0.4 units from
construction. A unit of motor vehicles output requires 0.2
units of steel, 0.4 units from motor vehicles and 0.2 units
from construction. A unit of construction output requires 0.3
units of steel, 0.4 units from motor vehicles and 0.1 units
from construction. The final demand is 20 million units
from steel, 50 million units from motor vehicles and 30
million units from construction.
a) Determine the technical coefficient matrix
b) If the final demands from steel drops by 2 million
units and that from motor vehicles increases by 10
million units, but there is no change in the final
demand from construction, what would be the change
in the total output of constructions?

Added by Candace N.

Question

Please give Ace some feedback