. Given the following input – output matrix and demand vector of shoes S, rubber R and glue G industries, determine the production vector. (5 marks)
Input – output matrix S R G
S 0.3 0.2 0.1
R 0.1 0.4 0.2
G 0.2 0.3 0.4
Demand vector 40
50
60
b. If in (a) above the demand of industries changes as follows:
S decreases by 10 units
R increases by 5 units
G increases by 10 units.
What should be the production levels? (6 marks)