-Table 22-4 presents the demand and supply schedules for television sets in Japan and the United States.If there is no trade between these countries, what are the equilibrium price and quantity in Japan?

Question

Quizplus · Accepted Answer

To find the equilibrium price and quantity in Japan, we need to look at the Japanese demand and supply schedules. At a price of $100, Japan demands 200 TVs and supplies 80, resulting in a surplus of 120. As the price increases, the quantity demanded decreases and the quantity supplied increases until we reach a price of $300, where the quantity demanded and supplied are both 70, and there is no surplus or shortage. Therefore, the equilibrium price and quantity in Japan are P = $300 and Q = 70.

-Table 22-4 Presents the Demand and Supply Schedules for Television