When the economy enters an expansion of a business cycle, households become more optimistic about expected future disposable income. The increase in optimism leads to
A) a shift upward of the consumption function.
B) a movement downward along the consumption function.
C) no change in the level of consumption expenditures.
D) an increase in consumption expenditures.
E) a movement upward along the consumption function.
Question 2
An increase in the money supply will appreciate a country's currency.
Indicate whether the statement is true or false
