Max has allocated $100 toward meats for his barbecue. His budget line and an indifference map are shown in the above figure. What is the price of chicken?

When two goods are related such that an increase in the price of one good decreases the quantity demanded of the other good, these goods are definitely

A) normal goods. B) luxury goods. C) complements. D) substitutes. E) inferior goods.

Suppose a perfectly competitive market is in long-run equilibrium with a price of $12. Then there is a permanent increase in demand

As a result, in the short run the market price ________ and in the long run the number of firms ________ and the price is ________ the price was in the short run. A) rises; does not change; is equal to B) rises; increases; higher than C) rises; does not change; lower than D) falls; decreases; is equal to E) rises; increases; lower than