Question: Hello guys i need help with this question please!! 5. (20 pts) Consider an economy with three sectors: 1) Information Techonology, 2) Manufacturing, and 3)
5. (20 pts) Consider an economy with three sectors: 1) Information Techonology, 2) Manufacturing, and 3) Research and Development. We have the following informa- tion: Information Techonology sells 30% of its output to Manufacturing, 20% to Research and Development, and keeps the rest in itself. Manufacturing sells 20% of its output to Information Techonology, 20% to Research and Development, and keeps the rest in itself. Research and Development sells 10% of its output to Information Techonology, 20% to Manufacturing, and keeps the rest in itself. a) Construct the exchange table for this economy. b) Develop a system of equations that leads to prices at each sector's income matches its expenses and find its equilibrium solution. c) Find equilibrium prices when the price for Services output is 1000 dollar
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