The economy of a small country can be regarded as consisting of three industries, I, II, and III, whose input-output matrix is IIIIII The entry in the third row, second column of matrix A means that

Question

A. to make $1 worth of output, industry III needs $0.40 worth of input from industry II.
B. to make $1 worth of output, industry II needs $0.40 worth of input from industry III.
C. industry II uses 40% of industry III's output.
D. industry III uses 40% of industry II's output.
E. none of these

Answer 1

Answer: B