Question 5 Note: There could be several questions on this economy. Answer Complete each one carefully and record your answer taking into account Marked out of that your answer may be relevant to the question(s) that may 1.00 follow. Flag question Consider a 'production economy' with two goods, X a the production function of each good is given by X = F(Lx, Kx) = Qx Lx Y = G( 5, K ) = Q, Ly where Li and Kj denote respectively the amount of labo Assume that ax = ay = 1, by = 1/2 and by = 1/2. Furthermore, suppose that the aggregate demand for good X and the aggregate demand for good Y are given respectively by Demand for X: X= a M Px Demand for Y: y= (1 - a) M Py