Find the equilibrium price, Algebra

Assignment Help:

Suppose an economy has four sectors, Agriculture (A), Energy (E), Manufacturing (M), and Transportation (T). Sector A sells 10% of its output to E and 25% to M and retains the rest. Sector E sells 30% of its output to A, 35% to M, and 25% to T and retains the rest. Sector M sells 30% of its output to A, 15% to E, and 40% to T and retains the rest. Sector T sells 20% of its output to A, 10% to E, and 30% to M and retains the rest.

(a) Construct a diagram that shows the exchange between the three sectors.

(b) Determine the exchange table for this economy, where the columns describe how  the output of each sector is exchanged among the four sectors.

(c) Denote the prices of the total annual outputs of the sectors by pA, pE, pM and pT  respectively. Determine the equations that need to hold for the equilibrium prices  for the four sectors.

(d) Find the equilibrium prices, if they exist.


Related Discussions:- Find the equilibrium price

Solve a quadratic equation through completing the square, Solve a quadratic...

Solve a quadratic equation through completing the square Now it's time to see how we employ completing the square to solve out a quadratic equation. The procedure is best seen

Substitution method, Not every linear system along with three equations and...

Not every linear system along with three equations and three variables utilizes the elimination method exclusively therefore let's take a look at another instance where the substit

Fractions, how do you solve a different fractions

how do you solve a different fractions

Set-builder notation, to get a discount at the diner, you must either be le...

to get a discount at the diner, you must either be less than 10 years old or at least 55 years old.

Introduction to Algebra, I need help with my Discussion 1 for week 5 please...

I need help with my Discussion 1 for week 5 please. w^2 + 30w + 81 and ac + xc + aw^2 + xw^2 and last one is x^4 - x^3

Q1, I have a 12.2 bottle of mustard. I use 1/20 of mustard per serving per ...

I have a 12.2 bottle of mustard. I use 1/20 of mustard per serving per hot doog. How much mustard do I have left after 4 servings of hot dogs.

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd