MCQOPTIONS
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| 1. |
Which of the following assumptions underlying input-output analysis raises about its validity ? |
| A. | The technical coefficients are fixed which means so substitution between inputs occurs |
| B. | - There are no externalities so that the total effect of carrying out several activities is the sum of the separate effects |
| C. | I- Each good is produced by only one industry and each industry produces only one commodity |
| D. | - There is no technical change |
| Answer» B. - There are no externalities so that the total effect of carrying out several activities is the sum of the separate effects | |