Article 71 of the Trademark Law lists several ways of calculating damages. This article refers to Buchanan and Tullock’s explanation of the Edgeworth box, Nash’s equilibrium concept, and Schelling’s focal point theory to explain several ways of calculating trademark damages. The reasonable royalty is often constructed by using the hypothetical negotiation scenario, which in turn can be understood by referring to Nash equilibrium. An established royalty is often used as a focal point for calculating a reasonable royalty. An accounting of the infringer’s profits is to transfer to the plaintiff the surplus caused by the incident of infringement. However, whether to transfer all of the infringer’s profits to the plaintiff is to be determined by a focal point—the defendant’s willfulness. The use of statutory damages in practice tends to be an accounting of the infringer’s profits. These methods of calculating damages can be considered as examples and further explications of the Coase theorem.