Suppose that a simple economy consists of three sectors: Sector X, Y and Z. Given theinput-output table below for the 3 sectors.Sector XSector YSector ZExternal DemandSector X0.40.672Sector Y0.40.30.2150Sector Z0.10.458 4) Intepret the valve o.6 that id qreyed out in the takke.) To output a unit of sector Z, howof se ctor X requiredmanyunitsC) By uring Leontief Input-Dutpt Model, deteminethe production levels neceary to Satiity the final demand

(a) The value 0.6 that is greyed out in the table represents the proportion of goods or services…

the valu that is greyed out in the table. units b) To output a unit of sector 2, how many of sector X is required? C) By uring Leontief Input-Output Model, determine the production levels necessary to satisfy the final demand

the valu that is greyed out in the table. units b) To output a unit of sector 2, how many of sector X is required? C) By uring Leontief Input-Output Model, determine the production levels necessary to satisfy the final demand

Microeconomics

13th Edition

ISBN:9781337617406

Author:Roger A. Arnold

Publisher:Roger A. Arnold

Chapter2: Production Possibilities Frontier Framework

Section: Chapter Questions

Problem 11QP

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Question

Suppose that a simple economy consists of three sectors: Sector X, Y and Z. Given the
input-output table below for the 3 sectors.
Sector X
Sector Y
Sector Z
External Demand
Sector X
0.4
0.6
72
Sector Y
0.4
0.3
0.2
150
Sector Z
0.1
0.4
58

4) Intepret the valve o.6 that id qreyed out in the takke.
) To output a unit of sector Z, how
of se ctor X required
many
units
C) By uring Leontief Input-Dutpt Model, detemine
the production levels neceary to Satiity the final demand

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