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Technological matrix m for island economy

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Ln island economy consists of the sectors of tourism, agriculture and fishing, To produce a dollar's worth of tourism requires an input of $0.3, $0.1 and $0.2 from tourism, agriculture and fishing respectively. A dollar's worth of agriculture requires inputs of $0.3, $0.1 and $0.2 from the sectors of tourism, agriculture and fishing respectively. On the other hand, a dollar's worth of fishing requires inputs of $0.1 from each sector.

A) Write the technological matrix M for this island economy.

B) If a,final demand of $25. million, $15 million and $20 million from tourism, agriculture and fishing is to be met, then set up the equation to be satisfied by the inputs from the respective sectors.

C) Solve the respective inputs satisfying these demands

Reference no: EM131172557

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