Applying the input output model in developing countries

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Reference no: EM132116138

In a two - industry economy, it is known that industry 1 uses 20 cents of its own product and 70 cents of II to produce a shillings worth of commodity X and II uses none of its own product but 40 cents of commodity X in producing a shillings worth of commodity Y.If the open sectors demands 30 and 20 billion shillings of commodity X and Y

Determine the solution of the output level that ensures the input requirements are consistent in the production of commodities X and Y.

What are the weaknesses of applying the input output model in developing countries?

Reference no: EM132116138

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