Economics Micro & Macro (CliffsAP)

Introduction

AP Economics Exam Details

This book is designed to help you prepare for the AP Macroeconomics and Microeconomics exam. As a student, your

task is to sum up all of the information that was given to you in your economics class. Taking the exam could earn you

college credit and/or placement into advanced coursework at the college level.

About The Exams

There are two exams in economics: one in microeconomics and one in macroeconomics. You do not have to take both;

however, you may choose to do so. Both exams are structured in the same way.

Section I

■ 60 multiple choice questions 70 minutes

Section II

■ 1 long free-response question and

■ 2 short free-response questions 10 minutes for planning

50 minutes for writing

Total Time: 2 Hours and 10 Minutes

Microeconomics Test Concepts

The microeconomics exam covers four major areas; the numbers in the parentheses indicate the approximate proportion

of multiple-choice questions in each area. For example, 8-12% for basic economic concepts indicates that there are 5 to

7 questions on this topic.

Basic Economic Concepts (8-12%)

Scarcity: The Nature of Economics Systems

Opportunity Costs and Production Possibilities

Specialization and Comparative Advantage; The Basis for International Trade

The Functions of any Economic System

The Nature and Functions of Product Markets (60-70%)

Supply and Demand

Models of Consumer Choice

Firm Production, Costs, Revenues

Product Pricing and Outputs within Different Market Structures

Efficiency and Government policy toward imperfect Competition

Factor Markets (10-15%)

Derived Factor Demand

Determination of Wages and Other Factor Prices

Efficiency, Equity and the Role of the Government (8-12%)

Externalities

Public Goods

Distribution of Income

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