Enter the internal consumption and the external demand into the Calculator. The calculator will evaluate the Leontief Production Equation. 

Leontief Production Equation Formula

PTO = IC + ED

Variables:

  • PTO is the Leontief Production Equation (total output)
  • IC is the internal consumption
  • ED is the external demand

To calculate Leontief Production Equation, sum the internal consumption and the external demand.

How to Calculate Leontief Production Equation?

The following steps outline how to calculate the Leontief Production Equation.

  1. First, determine the internal consumption. 
  2. Next, determine the external demand. 
  3. Next, gather the formula from above = PTO = IC + ED.
  4. Finally, calculate the Leontief Production Equation.
  5. After inserting the variables and calculating the result, check your answer with the calculator above.

Example Problem : 

Use the following variables as an example problem to test your knowledge.

internal consumption = 23

external demand = 235