AP Macroeconomics study guide
AP Macroeconomics · Work through your exam, one topic at a time.
AP Macroeconomics is a College Board Advanced Placement course and exam that assesses how well students understand economy-wide principles: economic models and definitions, the causes of given economic outcomes, the results of specific economic situations, and the graphical representation of economic relationships. It is intended for high school students who have completed the AP Macroeconomics course and want college-level recognition; colleges may award credit or placement based on the score. The AP Macroeconomics study guide has 6 sections and about 2,030 words.
01Define Economic Principles and Models
AP Macroeconomics requires precise definitions of foundational principles and models. Key concepts include scarcity , opportunity cost , production possibilities curve (PPC) , comparative advantage , supply and demand , circular flow , GDP , unemployment , inflation , and aggregate supply/aggregate demand (AS/AD) .
353 words, about 2 min02Explain Given Economic Outcomes
This domain asks you to explain why outcomes occur using models. You must connect events to shifts in supply, demand, or aggregate supply/demand, and trace the effects on price, output, employment, and inflation.
312 words, about 2 min03Determine the Outcomes of Specific Economic Situations
You must predict outcomes of policy actions and external shocks using the AS/AD model, money market, and loanable funds market. Key tools: monetary policy (central bank actions), fiscal policy (government spending and taxes), open-market operations , discount rate , reserve requirements , interest rates , and exchange rates .
333 words, about 2 min04Make Assertions About Economic Concepts, Principles, Models, Outcomes, and/or Effects
This domain tests your ability to evaluate statements and choose the most accurate assertion. You must distinguish between true and false claims about models, policy effects, and economic relationships.
335 words, about 2 min05Perform Numerical Analysis and Calculations
Numerical questions require fluency with formulas and careful interpretation. Key calculations: GDP (expenditure and income approaches) , real vs.
338 words, about 2 min06Create Graphs or Visual Representations
Graphing is essential in AP Macroeconomics. You must accurately draw and interpret: PPC , supply and demand , AS/AD , money market , loanable funds market , Phillips curve , foreign exchange market , and business cycle .
359 words, about 2 min