Question
In a certain economy, there are three sectors: Agriculture, Business and Services. It is known that to produce one unit of Agriculture requires 140 units
In a certain economy, there are three sectors: Agriculture, Business and Services. It is known that to produce one unit of Agriculture requires 140 units of Agriculture, 210 units of Business and 320 units of Services. Similarly, to produce one unit of Business requires 200 units of Agriculture, 230 units of Business and 130 units of Services and to produce one unit of Service requires 160 units of Agriculture, 150 units of Business and 200 units of Service. Given that the total demand or output for each sector is 1170, 1160 and 1060 for Agriculture, Business and Services respectively:
- Draw the Input/ Output Table
- Calculate the Primary Inputs and Final Demand for each Sector
- Formulate the Matrix of Technical Coefficients (use 1 decimal place)
- Obtain the level of output for each sector for the given Total Demand.
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