Explain the equivalence between the value-added approach and the expenditure approach in this example.
Principles of Economics : Countries and Systems 1) (200 words max., 20 points) Imagine a simple economy that consists only of 3 sectors: iron sector, steel sector and automobile sector. Iron is produced with no intermediate input. The value of production is £1000 and this is sold entirely to the steel sector. Apart from iron, […]