Final answer:
The equilibrium price and quantity in each country are found by equating the demand and supply functions and solving the equations for 'P' and 'Q'. Detailed supply function information is needed to complete the solution.
Step-by-step explanation:
The equilibrium price and quantity in each country, when trade is allowed, can be determined by setting the demand function equal to the supply function and solving for 'P' (price) and 'Q' (quantity). For Thailand, the equilibrium can be found by setting QdT equal to the supply function, and similarly for Japan.
In Thailand, the demand function is QdT = 60 - P. If the supply function is similar in form (e.g., QsT = x + yP), then one could set QdT = QsT and solve for the equilibrium. In Japan, with the demand function QdJ = 80 - P, the process would be the same after establishing Japan's supply function.
To compute the equilibrium price and quantity, algebra is employed. Given that the solution requires both demand and supply functions, additional information such as Japan's supply function is necessary to solve the problem.