Professional Documents
Culture Documents
Algebra
MSc Quantitative Techniques
1(a) Determine for each of the following whether the products DE,ED and
DF are defined. If so, indicate the dimensions of the product matrix.
Here D is 2 2, E is 2 1 and F is 1 2. The following are defined:
DE is of dimension 2 1, FD is of dimension 1 2, EF is of dimension
2 2, FE is of dimension 1 1. The following are not defined: ED
and DF.
" #
h i 2
FE = 3 7 = 34
4
1
2 Given matrices A and B
" # " #
4 9 2 4
A= B=
2 1 1 7
" # " #
24+42 29+41 16 22
BA = =
14+72 19+71 18 16
Clearly AB 6= BA.
2(b) Calculate the determinant of A.
The determinant of A is
|A| = 4 1 2 9 = 4 18 = 14
2
3 Consider the equation system
4 3 2 x3 1
3(b) How many solutions does this system have? Find them.
None, as simple manipulation of the equations shows the equations to
be inconsistent. To see why, note subtract equation (3) from equation
(1) to get
3x2 + 6x3 = 1
Multiply equation (2) by 4 and subtract equation (3) to get
x2 + 2x3 = 3
3
4 Consider
1 1 1
0 1 1
A=
0 0 1
1 1 1
1 1 1
4(c) Find the inverse A1 . Going through the usual steps, you should get
1 1 0
A1 = 0 1 1
0 0 1
4
5 Given
2 1 3
1 1
B=
+1 2 1
For what value(s) of is B not invertible?
" # " # " #
1 1 1 1
|B| = 2 1 +3 =0
2 1 +1 1 +1 2
|B| = 2 + 4 + 1 + 9 = 0 = = 2
5
6 A macroeconomic model is specified by the following relations
Y =C +I
Relation A: C = 100 + 0.7Y
I = 180 125r
S = 255
(
MD = M
Relation B:
MD = 220 + 0.2Y 175r
Find equilibrium Y and r using Cramer s Rule.
The variables of interest are Y and r, so we begin by simplifying both
relations purely for these two variables.
Relation A
Y = 100 + 0.7Y + 180 125r
Y (1 0.7) + 125r = 280
0.3Y + 125r = 280
Relation B
220 + 0.2Y 175r = 255
0.2Y 175r = 35
Writing these in matrix notation,
" #" # " #
0.3 +125 Y 280
=
0.2 175 r 35
6
7 Let
3 8 1
A= 0 4 3
0 3 4
= (3 )[(4 )(4 ) 9] = 0
Solutions:
i) (3 ) = 0 = 1 = 3
ii) (4 )(4 ) 9 = 0 = 2 8 + 7 = 0 = 2 = 7, 3 = 1
Then 1 = 3, 2 = 7, 3 = 1 are the eigenvalues.
For some eigenvalue i , we have, for i = 1, 2, 3
[A i I]xi = 0
7
3 2 8 1 4 8 1
[A 2 I] = 0
4 2 3 = 0
3 3
0 3 4 2 0 3 3
4
We can check that our value of x2 is indeed an eigenvector correspond-
ing to the eigenvalue 2 = 7, by showing that Ax2 = 2 x2
3 8 1 9 63 9
Ax2 = 0 4 3 4 = 28 = 7 4 = 2 x2
0 3 4 4 28 4
h i>
Similarly we can find that for 1 = 3, x1 = 1 0 0 is an eigen-
vector (determined only up to a scalar multiple).
h i>
Analogously, for 3 = 1, x3 = 7 2 2
Verify that the trace of the matrix equals the sum of the characteristic
roots.
8
The trace is the sum of the diagonal elements, so equals 3+4+4 = 11.
The sum of the characteristic roots is 1+3+7 = 11.
Verify that the determinant of the matrix equals the product of the
characteristic roots.
9
8 Show that if is an eigenvalue of a square matrix A, then 2 is an
eigenvalue of A2 .
If is an eigenvalue of A, then
Ax = x
AAx = Ax.
But note that the right hand side is the same Ax and since we know
that Ax = x, we can write
AAx = Ax = x
A2 x = 2 x
If so, 2 is an eigenvalue of A2 .
10
9 Given a 2 4 matrix X0 , define P = X(X0 X)1 X0 and M=I-P.
PP = X(X0 X)1 X0 = P
MM = [I-P][I-P]
or
M 2 = I P P + P2
11