Introduction: The Five-Step Program Step 1 Set Up Your Study Program 1 What You Need to Know About the AP Macroeconomics Exam 2 How to Plan Your Time Step 2 Determine Your Test Readiness 3 Take the Diagnostic Exam Diagnostic Exam: AP Macroeconomics Step 3 Develop Strategies for Success 4 How to Approach Each Question Type Section I: Multiple-Choice Questions Section II: Free-Response Questions Step 4 Review the Knowledge You Need to Score High 5 Fundamentals of Economic Analysis 5.1 Scarce Resources 5.2 Production Possibilities 5.3 Functions of Economic Systems 6 Demand, Supply, Market Equilibrium, and Welfare Analysis 6.1 Demand 6.2 Supply 6.3 Market Equilibrium 6.4 Welfare Analysis 7 Macroeconomic Measures of Performance 7.1 The Circular Flow Model 7.2 Accounting for Output and Income 7.3 Inflation and the Consumer Price Index 7.4 Unemployment 8 Consumption, Saving, Investment, and the Multiplier 8.1 Consumption and Saving 8.2 Investment 8.3 The Multiplier Effect 9 Aggregate Demand and Aggregate Supply 9.1 Aggregate Demand (AD) 9.2 Aggregate Supply (AS) 9.3 Macroeconomic Equilibrium 9.4 The Trade-Off Between Inflation and Unemployment 10 Fiscal Policy, Economic Growth, and Productivity 10.1 Expansionary and Contractionary Fiscal Policy 10.2 Difficulties of Fiscal Policy 10.3 Economic Growth and Productivity 11 Money, Banking, and Monetary Policy 11.1 Money and Financial Assets 11.2 Fractional Reserve Banking and Money Creation 11.3 Monetary Policy 12 International Trade 12.1 Comparative Advantage and Gains from Trade 12.2 Balance of Payments 12.3 Foreign Exchange Rates 12.4 Trade Barriers Step 5 Build Your Test-Taking Confidence AP Macroeconomics Practice Exam 1 AP Macroeconomics Practice Exam 2 5 Minutes to a 5 90 AP Macroeconomics Activities and Questions in 5 Minutes a Day 90 AP Microeconomics Activities and Questions in 5 Minutes a Day Appendixes Further Reading Websites Glossary Important Formulas and Conditions
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