Course Description
AP Macroeconomics is a college-level course designed for high school students to understand the principles and concepts that govern the broader economy. The course covers topics such as national income, economic growth, unemployment, inflation, monetary policy, fiscal policy, and international trade.
Students will engage in rigorous study and analysis to explore how economies function at the national and global levels. The curriculum includes data interpretation, economic models, and real-world case studies. Students will also examine the role of government and central banks in managing economic fluctuations and promoting economic stability.
Throughout the course, students will be prepared for the AP Macroeconomics exam, developing critical thinking skills and a solid understanding of macroeconomic concepts. This course is ideal for students interested in economics, business, or political science, and it provides a strong foundation for further studies in these fields.
Course Details
AP Macro-economics
Eleventh Grade Twelfth Grade
Unit 1: Basic Economic Concepts
- Scarcity and Opportunity Cost
- Definition of economics
- Trade-offs and opportunity costs
- Production Possibilities Curve (PPC)
- Understanding the PPC and efficiency
- Concepts of specialization and trade
- Comparative and Absolute Advantage
- Analyzing trade benefits and gains
- Global trade and comparative advantage
Unit 2: Measurement of Economic Performance
- Gross Domestic Product (GDP)
- Definition and components of GDP
- Nominal vs. real GDP
- Unemployment and Inflation
- Types of unemployment (frictional, structural, cyclical)
- Measures of inflation (CPI, PPI)
- Business Cycles
- Phases of the business cycle
- Understanding economic growth and recession
Unit 3: National Income and Price Determination
- Aggregate Demand and Aggregate Supply
- Shifts in aggregate demand and supply
- Equilibrium in the aggregate market
- Price Level and Real Output
- Short-run and long-run aggregate supply
- Causes of inflation and deflation
- The Multiplier Effect
- Government spending, taxes, and their effects on GDP
Unit 4: Financial Sector
- Money, Banking, and Financial Markets
- Functions of money and types of money
- Role of financial institutions
- The Federal Reserve and Monetary Policy
- Tools of the Federal Reserve (OMO, discount rate, reserve requirements)
- Monetary policy’s impact on interest rates and GDP
- Interest Rates and Investment
- Relationship between interest rates and investment
- Loanable funds market
Unit 5: Inflation, Unemployment, and Stabilization Policies
- The Phillips Curve
- Short-run and long-run Phillips curves
- Trade-offs between inflation and unemployment
- Fiscal Policy
- Government spending and taxation policies
- Expansionary and contractionary fiscal policies
- Policy Debates and Economic Schools of Thought
- Keynesian vs. Classical economics
- Supply-side economics and other perspectives
Unit 6: Economic Growth and Productivity
- Sources of Economic Growth
- Capital, labor, and technology
- Productivity and long-run growth
- Policies for Economic Growth
- Government’s role in promoting economic growth
- Impact of education and innovation
Unit 7: International Trade and Finance
- Global Trade and Comparative Advantage
- Benefits and costs of international trade
- Tariffs, quotas, and trade agreements
- Exchange Rates and Balance of Payments
- Determinants of exchange rates
- Balance of trade and capital flows
- Globalization and Its Impact
- Effects of globalization on economies
- Global economic organizations (WTO, IMF, World Bank)
Final Exam Preparation
- AP Macroeconomics Exam Review
- Review key concepts and practice problems
- Test-taking strategies and time management
Coming soon.
Coming soon.
Dr. Michael Murdock
Michael Murdock holds a PhD in Modern Chinese history from the University of Michigan. For 30 years he taught history, international relations, and political science courses at the University of Michigan-Dearborn, Bowling Green State, Brigham Young University-Provo, and Brigham Young University-Hawaii. His primary expertise lies in the history and contemporary developments of Asia, but he also enjoys European and North American history and politics. Raised by educator parents, Michael saw examples of exceptional teaching from his youth. He believes that good teaching is an act of Christ-like love. He loves using models and examples from history to explain conditions today.