An economy that is closed to the outside world and has no government is made up of three industries (there is no trade within industries). Industry X extracts raw materials from mines and produces energy, it pays £8000 million to its workers and it sells £7000 million worth of output to industry Y, £4000 million worth to industry Z, and £4000 million worth direct to consumers (through its own energy supply network). Industry Y makes a range of manufactured goods and sells £16000 million worth to households, and pays £8000 million in wages to its workers. Industry Z provides a range of services, selling £17000 million worth to consumers and paying its workers £11000 million in wages. There are no transactions between industries Y and Z and there are no other industries in the economy.

What added value is generated by the Manufacturing Industry?



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