Consider the following three-sector national income determination model assuming equilibrium in

the economy:

C = 20+0.85(YT) T = 25+0.25Y

I = 155 G = 100

1. (4.5 Marks) Solve the model presented in the above system of equations using the matrix inverse and the Crammer's rule for the equilibrium values of the unknown variables.
2. (3.75 Marks) Verify your solution in part (2) above by solving these simultaneous equations.