The individual supply curve of labor is backward bending because the substitution effect offsets the income effect at higher wage rates

Soda and peanuts are complements. Other influences on buying plans remaining the same, a rise in the price of soda

A) increases the demand for peanuts. B) decreases the demand for peanuts. C) decreases the demand for soda. D) increases the demand for soda. E) has no effect on the demand for peanuts, though it does change the quantity demanded of peanuts.

In the above figure, if the market is competitive and unregulated, the price will be

A) $20 per unit. B) $15 per unit. C) $10 per unit. D) $5 per unit.