Pricing Lobster in my Boston Restaurant (Please read this article: The mistery of the market Price - https://slate.com/business/2012/08/lobster-prices-are-collapsing-but-market-price-lobster-meals-arent-getting-any-cheaper.html)

1. Is the end of the sixth paragraph an example of short-run pricing or long-run pricing? That is, by charging higher prices, should this restaurant expect other restaurants to enter immediately (say this lobster season)? Choose answer below.

a) Short-run. Not immediately.

b) None of the above.

c) Long-run. Not immediately.

2. Why do we observe the ratchet effect? Choose answer below.

a) To minimize the ATC.

b) Because of the short-run capacity constraint.

c) To reduce the unemployment rate.

3. Is the last paragraph an example of long-term pricing? Why?