Question

Consider an economy with three sectors: Fuels and Power, Manufacturing, and Services. Fuels and Power sells...

Consider an economy with three sectors: Fuels and Power, Manufacturing, and Services. Fuels and Power sells 85% of its output to Manufacturing,10% to Services, and retains the rest. Manufacturing sells 15% of its output to Fuels and Power, 70% to Services, and retains the rest. Services sells 25% to Fuels and Power, 40% to Manufacturing, and retains the rest. Find the equilibrium price for each sector. Assume the total economy is valued at $1,000,000,000.

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