Question
A simple economy has a shoe industry and a cattle industry. Each unit of shoe output requires inputs of0.1 unitof shoes and0.3unitof cattle products. Each
A simple economy has a shoe industry and a cattle industry. Each unit of shoe output requires inputs of0.1 unitof shoes and0.3unitof cattle products. Each unit of cattle products output requires inputs of0.1 unitof shoes and0.05 unitof cattle products.(a)Write the technology matrix for this simple economy. (Use the first row and first column for shoes and the second row and second column for cattle products.)
(b)If surpluses of850units of shoes and175units of cattle products are desired, find the gross production of each industry.
shoes ___________
cattle product______________
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started