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Table 22-4 Quantity Quantity Quantty Price perDemanded Supplied TV dollars)(thou

ID: 1139919 • Letter: T

Question

Table 22-4 Quantity Quantity Quantty Price perDemanded Supplied TV dollars)(thoueands) thousands) (husands) (thousands 100 Demanded Supplied n United States in United States Japan 100 10 100 25 70 30 70 70 50 60 70 50 100 110 30 800 Table 224present,thedeandand mpplychedles fr telerin nset, m1pm and te U ted States. IfJapan dtheUated States tade with esh other, which coutry will export telennon sets md how-my? O a The Uesited States will export 40,000 television sets to Japan b. The Unted States wall export 20,000 telenvistion sets to Japan c.Japan wall export 30,000 selevision sets to the United States d.Japan will expert 20,000 telelton sets tote United States.

Explanation / Answer

the equilibrium price in Japan is 300 and at that price they can produce 70 units of television. In the US the equilibrium price is 500 and consumption is 50.

Japan will export 20,000 units of televesion. The price in the US will be 400 and we will poduce 40 and demand 60. remaining will be imported from japan. the answer is "D".

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