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Country X has the usual demand and supply curves for producing television while country Y only has a typical demand curve, but it cannot produce
Country X has the usual demand and supply curves for producing television while country Y only has a typical demand curve, but it cannot produce television.
- Show in a set of graphs the free-trade equilibrium for television. Indicate the equilibrium world price. How does this world price compare to the no-trade price in Country X? Indicate how many televisions are traded under free international trade. Make sure to state the assumptions.
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