A.P. ECONOMICS

Course Description: A.P. Economics is a rigorous; yet rewarding examination of the fundamental principles which govern economic activities at both the level of the individual and firm , and also that of the aggregate economy. In addition to preparing a student for the A.P. exam in micro and macro economics, a major emphasis of this course will be on the development of critical thinking skills and the application of economic principles and methodologies in problem solving. Consequently, the course will incorporate a wide variety of activities including formal instruction in writing; debates; presentations; research projects; and problem solving competitions in addition to traditional lectures, exams and homework problems.  

MICROECONOMICS OUTLINE

  I. Basic economic concepts

A. Scarcity, Opportunity Cost, and Production Possibilities
B. Specialization and Comparative Advantage
C. Functions of economic systems

II. Nature and Functions of Product Market

A. Supply and Demand
B. Consumer Demand

1. Marginal Utility Theory
2. Elasticity

C. Firm Production, cost, and revenues

1. Marginal product and diminishing returns
2. Average and marginal costs and revenues
3. Long run cost and economies of scale

D. Product Pricing and outputs in Firms and in the market

1. Perfect competition
2. Monopoly
3. Imperfect competition (Oligopoly)

E. Efficiency and Government Policy

III. Factor Markets

A. Derived factor demand
B. Determination of wages and other factor prices

IV. Efficiency, Equity, and the role of government

A. Market failures (externalities, public goods)
B. Distribution of income 

MACROECONOMICS OUTLINE

I. Introduction to Macro Economics

A. The Circular Flow of National Income and Product

B. Measuring National Income and National Product

C. Aggregate Demand and Aggregate Supply

II. Models of Macro Economic Equilibrium

A. Classical and Keynesian Theories of National Income

B. Simple Keynesian Models

C. Equilibrium & the Multiplier: Simple I-E

D. Income Expenditure Model & AD/AS Models Reconciled

E. Fiscal Policy

III. Banking and Monetary Policy

A. Money and the Banking System

B. The Commercial Bank and the Creation of Money

C. Demand, Supply, and the Money Market

D. Monetary and Fiscal Policy: Short Run and Long Run Affects

IV. Price Stability, Employment and Growth

A. Inflation

B. Inflation & The Accerlerationist Model

C. Economic Growth

D. Policy Activism vs. Policy Rule

V. International Economics

A. Gains from Trade

B. Exchange Rates

C. Balance of Payments

UNITS:

 UNIT ONE:  SCARCITY & CHOICE: AN INTRO TO THE

 FUNDAMENTALS OF ECONOMIC THINKING 

UNIT TWO:  SUPPLY & DEMAND  

UNIT THREE:  THEORY OF THE FIRM

UNIT FOUR: FACTOR MARKETS

 UNIT FIVE: EXTERNALITIES AND SOCIAL GOOD

UNIT SIX: TAXATION  

 UNIT SEVEN: DETERMINING NATIONAL INCOME AND PRODUCT

UNIT EIGHT:  AGGREGATE SUPPLY AND DEMAND 

 UNIT NINE:  FISCAL POLICY

UNIT TEN: MONEY AND BANKING; CREATION OF MONEY; MONETARY POLICY:

UNIT ELEVEN: MONETARY AND FISCAL POLICY IN BOTH THE SHORT AND LONG RUN; STABILITY AND ECONOMIC GROWTH   

UNIT TWELVE: ECONOMIC SCHOOLS OF THOUGHT PAST AND PRESENT

UNIT THIRTEEN:  INTERNATIONAL ECONOMICS

UNIT FOURTEEN: EXAM REVIEW

UNIT FIFTEEN: RESEARCH PROJECT AND PRESENTATION

  REQUIREMENTS AND EXPECTATIONS:

1) All students will act in a respectful, positive manner toward both the instructor and peers during class.

2) Students will complete all assigned work. Failure to meet this requirement will result in an “I” grade.

3) Students will attend class.  

4) Missed work, tests and quizzes will be turned in or taken the first week back from an absence.   

5) All summative work be done at a at least a 50%  level to receive credit. Work not completed at this level will be redone through a variety of measures including re-taking exams, projects, and presentations. 

6) Any student overall grade below a “C” will be referred to CRC.

7) No cell phones, I-pods, or games to be allowed in class.

 TEXT: Economics, 16/e Campbell R. McConnell & Stanley L. Brue, Mc Graw Hill 2002.

 SUPPLEMENTS: Cracking the A.P. Economics Exam (Micro & Macro)    2002-2003,  by David Anderson.

Although the supplement book is not required, it is strongly recommended.

GRADING SCALE:  The AP grades roughly correspond to the following marks:

Thus, the percentage marks have been modified accordingly:

WORK AND SOCIAL SKILLS GRADE: Each student will receive a grade for social skill and work skills based on the following criteria:

Social Skills                                                                                               Work Skills

1.Respect                                                                                                1.  Prepared

2.Responsibility                                                                                      2.  Uses time wisely                     

3. Positive Solutions                                                                                3. Follows Directions  

4. Self-Control                                                                                          4.  Pays Attention                     

5. Honesty                                                                                                5.  Actively Involved 

                                                                                                                6. Completes Tasks on time