Exercises 1–4 refer to an economy that is divided into three sectors —manufacturing, agriculture, and services. For each unit of output, manufacturing requires .10 unit from other companies in that sector, .30 unit from agriculture, and .30 unit from services. For each unit of output, agriculture uses .20 unit of its own output,.60 unit from manufacturing, and .10 unit from services. For each unit of output, the services sector consumes .10 unit from services, .60 unit from manufacturing, but no agricultural products.
4. Determine the production levels needed to satisfy a final demand of 18 units for manufacturing, 18 units for agriculture, and 0 units for services.
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