AP® Macroeconomics
Course Summary
Acquire basic economic concepts and learn how to think like an economist. Topics include monetary policy, supply and demand, and banking and investment. Students explore macroeconomic concepts such as the major economic goals of an economy, how to meet goals through policy implementation, and how to deal with competing goals. Examine trade and foreign markets and analyze theories to assess both national and international economies.
This course prepares students for the AP® Macroeconomics exam.
Course Prerequisite(s):
None. However, students should be able to read a college-level textbook, write grammatically correct sentences, analyze images, think critically, and write evidence-based essays.
Curriculum
This is a 1-semester course.
Unit 1: Basic Economic Concepts
- Scarcity
- Opportunity Cost
- Production Possibilities
- Specialization and Comparative Advantage
- Traditional, Command, and Market Economies
- Functions of Any Economic System
Unit 2: Supply and Demand
- Demand
- Supply
- Equilibrium Price and Quantity
- Price Floor and Price Ceiling
Unit 3: National Income and Price Determination
- Gross Domestic Product and National Income Concepts
- Aggregate Demand and Supply; National Income and Price Determination
- Classical Theory and Keynesian Theory: An Introduction
- Fiscal Policy
Unit 4: Measures of Economic Performance
- Economic Growth and Productivity
- Unemployment
- Inflation
- The Phillips Curve
Unit 5: Stabilization Policies and the Financial Sector
- Money Defined
- Money Market
- Fractional Reserve Banking
- Banks and the Creation of Money
- Loanable Funds Market
- Monetary Policy: Tools of the Fed
Unit 6: Open Economy: International TradeThe Balance of Payments
- The Balance of Payments
- Foreign Exchange (FOREX)
- Financial Capital Flows of Nations
Unit 7: Practice AP® Test
- Tips for the Course Review and AP® Macroeconomics Exam