This Advanced Placement Economics course is a combination of Macroeconomics and Microeconomics, and is equivalent to a two semesters of introductory college courses in economics. The rigor of this course is consistent with colleges and universities and will prepare students for the Advanced Placement exam in May. Upon successful completion of the exam, students may receive college credit and will be well-prepared for advanced economics coursework. Additional details on each course from the College Board can be found here: AP Macroeconomics and AP Microeconomics.
In this course, students will explore four big ideas in both Macro and Micro:
Macroeconomics
(1) Economic Measurements: Economists construct measurements to monitor the state of an economy and evaluate its performance over time. Governments, firms, and citizens often use these measurements to help inform policy, business, and personal decisions.
(2) Markets: Competitive markets bring together buyers and sellers to exchange goods and services for mutual gain. The simple model of supply–demand can be applied in different market contexts.
(3) Macroeconomic Models: Macroeconomic models are simplified representations that depict basic economic relationships and can be used to predict and explain how those relationships are affected by economic shocks. (4) Macroeconomic Policies: Government taxation and spending policies and central bank monetary policy can affect an economy’s output, price level, and level of employment, both in the short run and in the long run.
Microeconomics
(1) Scarcity and Markets: Limited resources and unlimited wants result in the need to make choices. In a market economy, the choices of buyers and sellers determine market prices and the allocation of scarce resources.
(2) Costs, Benefits, and Marginal Analysis: There are trade-offs associated with any decision. Making optimal decisions requires evaluating the additional costs and benefits of possible actions.
(3) Production Choices and Behavior: Firms seek to minimize costs and maximize profits, which influences their production decisions in the short run and long run.
(4) Market Inefficiency and Public Policy: Private markets can fail to allocate resources efficiently, and well-designed public policy can endeavor to promote greater efficiency and equity in the economy. Students will investigate Macro topics such as basic economic concepts, economic indicators and the business cycle, national income and price determination, financial sector, long-run consequences of stabilization policies, and open economy – international trade and finance.
Students will also investigate Micro topics such as supply and demand, production, cost, and the perfect competition model, imperfect competition, factor markets, and market failure and the role of the government.
This course incorporates a variety of textbook and multimedia resources including an adaptive problem set platform that provides a variety of feedback on student assessments. Students will also engage in collaborative activities, including discussions, and connect economic principles to real-world applications and current events, in order to develop a deeper understanding of economics in today’s world.
Students will be expected to enroll in My AP Classroom through their VHS Learning AP course and will be guided to complete review work in My AP Classroom throughout the year. My AP Classroom resources include AP Daily Videos and unit-based Personal Progress Checks, which include AP-style multiple choice and free response questions.
Students enrolled in VHS Learning Advanced Placement courses with a passing grade are expected to take the AP Exam. Students register for AP exams through their local school or testing site as “Exam Only” students. AP exam scores will be reported to VHS Learning through My AP Classroom; exam results will not affect the student's VHS Learning grade or future enrollment in VHS Learning courses.
This AP course has a required summer assignment. The summer assignment is a review of prerequisite content and critical concepts students must be comfortable with before beginning the course. Students are expected to complete their summer assignment before the course begins and submit their work by the end of Week 1. Students who register on or after September 1 will receive an extension to complete the summer assignment by the end of Week 3.
Course Essential Questions:
- How do economists measure the health of a national economy?
- How do markets allocate goods and services in a world of scarcity?
- How do economists demonstrate economic situations and actions through graphical representations?
- How is an economy affected by economic (fiscal and monetary) policy?
- How does marginal analysis help to explain human behavior?
- How do how do profit-seeking firms make production decision in the face of cost and market competition pressures?
- Why do markets sometimes fail to produce socially optimal outcomes, and what are some solutions to these problems?
Course Objectives:
- Define and interpret economic principles and models.
- Explain given economic outcomes.
- Determine outcomes of specific economic situations.
- Model economic situations using graphs or visual representations.