Last year a country had exports of $100 billion, imports of $70 billion, and purchased $60 billion worth of foreign assets. What was the value of domestic assets purchased by foreigners?

A manager invests $400,000 in a technology that should reduce the overall costs of production. The company managed to reduce their cost per unit from $2 to $1.85 . This affects

a. Economic profits b. Accounting profits c. Both a and b d. None of the above

Economists who favor activist monetary policy argue that

A) the economy does not always equilibrate quickly enough at the Natural Real GDP or full-employment output and therefore needs help. B) activist monetary policy is effective at smoothing out the business cycle. C) activist monetary policy is flexible and flexibility is a desirable quality in monetary policy. D) a and b E) a, b and c