Show that expenditure on agricultural goods increases at


Consider the model of Section 20.3.

2362_fe71e8ae-d71b-4687-b3b3-ffeecb7ddb84.png

1. Show that agricultural consumption and production stay constant at

2. Show that this is increasing in BA and provide the intuition for this result.

3. Show that expenditure on agricultural goods increases at the same rate as aggregate output.

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Econometrics: Show that expenditure on agricultural goods increases at
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