The best restaurants in Madrid are those that have won Michelin stars. There are almost a dozen of them in Madrid, and the vast majority have two stars from the authoritative guide.
The Santceloni restaurant specializes in Catalan cuisine, the chef at La Terraza del Casino de Madrid experiments with molecular gastronomy, and DiverXO offers an exquisite mix of Spanish, Asian and Latin traditions.
The iconic restaurant is Sobrino De Botín - it's been around since 1725 and is listed in the Guinness Book of World Records as the oldest restaurant in the world.
Prices at Madrid's best restaurants correspond to their "star" status: the cheapest tasting menu without drinks will cost you 50-60 EUR, the most expensive 180-200 EUR.
Inexpensive restaurants in Madrid have a much more democratic pricing policy: you can order a set lunch for 10-12 EUR, and the dishes will be really tasty and the portions will be quite large.
In Madrid's cafes, prices vary depending on the level of the establishment, but a traditional Spanish breakfast (churros with hot chocolate) can be had for just 3-5 EUR. And at the famous Museo del Jamon, delicious meat sandwiches cost just 1-2 EUR.
Naturally, Madrid restaurants offer not only Spanish cuisine, but also Italian, French, American, Asian.