Expectations that disposable income will increase in the future ...

[awywial]

Expectations that disposable income will increase in the future will _____.
 a. shift the current consumption function upward
 b. shift the current consumption function downward
 c. result in an upward movement along the current consumption function
  d. make the current consumption function flatter
 e. make the current consumption function steeper

Question 2

Consider a competitive industry in which a green company uses a cleaner but costlier production method than is used by other firms. In the long run, the green company will:
 a. earn more profit than will the typical firm in the industry.
  b. drive its competitors out of business.
  c. have economic losses and exit the industry.
  d. charge a higher-than-average price for its product.

[amandalm]

Answer to Question 1

a

Answer to Question 2

c