Math Problem Statement
Assume that an economy is based on three industrial sectors, agriculture (A), building (B), and energy (E). The technology matrix M, and demand matrix D (in billions of dollars), are shown below. Also shown below is the inverse of
Iminus−M,
where I is the identity matrix.
Start 3 By 1 Matrix 1st Row 1st Column font size decreased by 1 font size decreased by 1 font size decreased by 1 font size increased by 1 Upper A 2nd Row 1st Column font size decreased by 1 font size decreased by 1 font size decreased by 1 font size increased by 1 Upper B 3rd Row 1st Column font size decreased by 1 font size decreased by 1 font size decreased by 1 font size increased by 1 Upper E EndMatrix ModifyingAbove left bracket Start 3 By 1 Matrix 1st Row 1st Column 0.7 2nd Row 1st Column 0.1 3rd Row 1st Column 0.1 EndMatrix With Upper A ModifyingAbove Start 3 By 1 Matrix 1st Row 1st Column 0.2 2nd Row 1st Column 0.6 3rd Row 1st Column 0.1 EndMatrix With Upper B ModifyingAbove Start 3 By 1 Matrix 1st Row 1st Column 0.0 2nd Row 1st Column 0.2 3rd Row 1st Column 0.4 EndMatrix right bracket With Upper E
A
B
E
A
0.7
0.1
0.1
B
0.2
0.6
0.1
E
0.0
0.2
0.4
Mequals=
Dequals=
left bracket Start 3 By 1 Matrix 1st Row 1st Column 50 2nd Row 1st Column 38 3rd Row 1st Column 32 EndMatrix right bracket
50
38
32
left parenthesis Upper I minus Upper M right parenthesis Superscript negative 1(I−M)−1equals=
left bracket Start 3 By 3 Matrix 1st Row 1st Column 4.4 2nd Column 2.4 3rd Column 0.8 2nd Row 1st Column 1.6 2nd Column 3.6 3rd Column 1.2 3rd Row 1st Column 1 2nd Column 1 3rd Column 2 EndMatrix right bracket
4.4
2.4
0.8
1.6
3.6
1.2
1
1
2
Find the output for each of the three sectors,
Upper XX.
Question content area bottom
Part 1
Xequals=enter your response here
(Simplify your answer.)
Solution
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Math Problem Analysis
Mathematical Concepts
Matrix Operations
Linear Algebra
Economic Modeling
Formulas
X = (I - M)^{-1} * D
Theorems
Matrix Inversion
Suitable Grade Level
College Level (Economics or Advanced Math)
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