Let's first write down our known information for clarity:
We are looking for the following unknowns:
Now we can write down our general equilibrium equations:
We can expand these equations to get:
Now we can solve for our unknowns:
Let's first write down our known information for clarity:
We are looking for the following unknowns:
Now we can write down our general equilibrium equations:
We can expand these equations to get:
Now we can solve for our unknowns: