Calculation of the marginal costs of the intermediate product when increasing the export of agricultural products

Next, let’s put the question as follows:

what should be the gross outputs of industries next year, if it is planned to get rid of the predominance of imports of agricultural products, i.e. production is planned to be increased so that the KP for the industry would become zero.

The system of equations for solving this case is:

x1 = 0.5 x1 + 0.2 x2 + 110.0

x2 = 0.4 x1 + 0.6 x2

Hence we have: x1 = x2 = 110 / 0.3 = 366.7 and a new scheme for the distribution of products in Table. 6.8.

Table 6.8 Resource requirements by component

Distribution of products when the final product and other parameters change in the conditional example

The change in the total capital intensity and volume of the OPF is explained by a change in the structure of production.

So, in the end, we have:

Next, let’s put the question like this:

what costs of the intermediate product were incurred by the national economy when the agricultural contract was increased by 40 (this is equivalent to the same increase in exports)?

The answer to this question can be seen from the diagram:

So, it is obvious that in order to increase exports (or CP) in agriculture by 1 ruble, industrial production should be increased by 1.67 rubles, agricultural production by
4.17 rubles, and in general for the national economy – by 5.84 rubles.