$($d$)$ Draw the U$.$S$.$ domestic supply curve and domestic demand curve.$$

$($e$)$ What is the consumer surplus, producer surplus and total surplus in Autarky?$$

$($f$)$ With free trade, what is the new consumer surplus, producer surplus and total surplus?

$($g$)$ If the world price equals $$40$ M; with free trade, what is the consumer surplus, producer surplus and total surplus?

 

1. The accompanying table indicates the U.S. domestic demand schedule and domestic supply schedule for commercial jet airplanes. Suppose that the world price of a commercial jet airplane is $100 million. Price of Jets (Millions) Quantity of Jets Demanded Quantity of Jets Supplied 120 100 1000 110 150 900 100 200 800 90 250 700 80 300 600 70 350 500 60 400 400 50 450 300 40 500 200