Suppose that F = US$10 billion for the industry and c = US$17000 per finished automobile and (1) = 600. Assume that the initial size of the US and European automobile markets are 300 million and 675 million people, respectively.

What is the equilibrium price of automobiles in the United States and Europe if the automobile industry is closed to foreign trade?

b: a constant term representing the reponsiveness of a firms sales to its prices