Download AP Microeconomics Dodge

AP Microeconomics
Dodge
Syllabus
In this course, students will:
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learn how to think like an economist with an emphasis on individual decisions;
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study the graphic presentations of our economic concepts; (Applications will stress
microeconomics.)
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understand our economic concepts in the context of our economy;
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have the foundation to pursue economics at the college level.
Content Summary
1. Basic economic concepts: scarcity, choice, opportunity cost, trade-offs, production possibilities
curve, absolute advantage, comparative advantage and specialization.
2. Nature and function of product markets: supply and demand, elasticity, consumer choice, firm
production costs and revenues, pricing, perfect competition, imperfect competition, price floors and
price ceilings, consumer and producer surplus, short-run and long-run equilibrium for all market
structures (perfect competition, monopolistic competition, oligopoly and monopoly).
3. Factor markets: derived demand, factor pricing, marginal product, marginal revenue product. The
role of factor prices in the allocation of resources.
4. Role of government: government regulation, public goods, externalities distribution of wealth.
The study of the effectiveness of government policies, such as subsidies, taxes, quantity controls,
and public provision of goods and services. The distribution of income and economic efficiency.
AP Microeconomics
Unit 1: Basic Concepts
Dodge
1 week
Key Topics: Scarcity, Choice, Opportunity Cost, PPF, Basic Marginal Benefit/Marginal Cost Analysis
Readings: Mankiw; Principles of Economics. Chapter 1, pp. 3-20; Chapter 2, pp. 21-39; Chapter 3,
pp.49-62.
Assessment: Mankiw; Principles of Economics.
Chapter 1, Question for Review (QFR) p. 18 #s 1,3,4,6,7,9,10 and problem 1
Chapter 2, QFR p. 38 #s 2,3,4,6,7,9
Chapter 3, QFR p.60 #s 1,2,5,6
Mortons : NCEE, AP Economics: Microeconomics: Student Activities: 2,6 and 7
Unit 2: Supply and Demand
4 weeks
Topics: Demand, Law of Diminishing Marginal Benefits, Supply, Consumer and Producer Surplus,
Consumer Choice/Optimal Purchase Rule, Allocative Efficiency, Deadweight Loss, Elasticity, Total
Revenue Test, Price Discrimination, Price Floors and Ceilings, Efficiency versus Equity
Readings: Mankiw; Principles of Economics. Chapter 4, pp. 65-88;
Chapter 5, pp. 90-109; Chapter 6, pp. 111-131; Chapter 7, pp. 135-169.
Assessment: Written: Mankiw; Principles of Economics.
Chapter 4, QFR p. 85-86 #s 1-9
Chapter 5, QFR p. 108 #s 1,2,3,4,6,8 and problem #6
Chapter 6, QFR p. 128 #s 2,4,6,7
Chapter 7, QFR p. 152 #s 1-6
Mortons: NCEE, AP Economics: Microeconomics: Student Activities 9,10,11,12,13,15,17,19,21 & 22
Unit 3: The Role of Government
2 weeks
Topics: Role of Government, Public versus Private Goods, Marginal Social Cost/Marginal Social
Benefit Analysis, Market Failures, Positive and Negative Externalities, Taxes, Free Riders, “Tragedy of
the Commons”, Foreign Trade
Readings: Mankiw; Principles of Economics. Chapter 8, pp. 155-169; Chapter 9, pp. 170-191, Chap
10, pp.195-215
Assessment: Written: Mankiw; Principles of Economics.
Chapter 8, QFR p. 167 #s 1-5 and problem #10
Chapter 9, QFR p. 189 #s 2-5
Chapter 10, QFR p. 213 #s 1-6
Mortons: NCEE, AP Economics: Microeconomics: Student Activities 52,54 and 56
AP Microeconomics
Unit 4: Costs and Revenues
(emphasis on graphs)
Dodge
1 weeks
Topics: Law of Diminishing Marginal Returns, Economies of Scale, Costs (fixed, variable, marginal),
Cost Curves (relationship between curves), Total and Marginal Revenues, Profit and Loss (MR/MC and
TR/TC), Break-Even, Shut Down, Economic Profit versus Normal Profit
Readings: Mankiw; Principles of Economics; Chapter 13, pp. 259-277
Assessment: Written: Mankiw; Principles of Economics
Chapter 13, QFR p. 275 #s 1-8
Mortons: NCEE, AP Economics: Microeconomics: Student Activities 24,25,26
Unit 5: Perfect Competition
2 week
Topics: Assumptions, Relationship between Industry and Firm, Profit Maximization, Long-Run
Equilibriums, Short-Run Equilibriums and the Adjustment Mechanism, Allocative Efficiency (for a
firm)
Readings: Mankiw; Principles of Economics; Chapter 14, pp. 279-298
Assessment: Written: Mankiw; Principles of Economics
Chapter 14, QFR p. 296 #s 1-8 and problems 3 & 4
Mortons: NCEE, AP Economics: Microeconomics: Student Activities 27,28,29,30 and 31
Unit 6: Imperfect Competition
3 weeks
Topics: Relationship Between Price and MR, Barriers to Entry, Profit Maximization, Monopoly,
Regulation, Natural Monopoly, Oligopoly and Duopoly Game Theory with Game Tree and Payoff
Matrix (dominant strategy, Nash Equilibrium, collusion, prisoner’s dilemma, interdependence),
collusive Oligopoly, Monopolistic Competition (long run and short run) (Note: In each imperfectly
competitive market structure, examine its effect on allocative efficiency and consumer and producer
surplus, and make comparisons to perfect competition.)
Readings: Mankiw; Principles of Economics; Chapter 15, pp. 299-328; Chapter 16, pp. 329-348;
Chapter17, pp. 349-371.
Assessment: Written: Mankiw; Principles of Economics
Chapter 15, QFR p. 325 #s 2-6
Chapter 16, QFR p. 346 #s 1-4 and problems 1-4
Chapter 17, QFR p. 368 #s 2-5
Mortons: NCEE, AP Economics: Microeconomics: Student Activities 32,33,34,36,37,38,39,40,41
AP Microeconomics
Unit 7: Factor Markets
Dodge
2 weeks
Topics: Factors of Production (review definitions of marginal revenue, marginal product, the law of
diminishing marginal returns), Derived Demand, Marginal Revenue Product Analysis, Optimal Purchase
Rule, Perfectly Competitive Factor Markets, Profit Maximization/Cost Minimization Rules,
Monopsony, Economic Rent, Distribution of Income Among Factors, Unions
Readings: Mankiw; Principles of Economics; Chapter 18, pp. 375-396
Assessment: Written: Mankiw; Principles of Economics
Chapter 18, QFR p. 394 #s 2-5 and Problems #1 & 2
Mortons: NCEE, AP Economics: Microeconomics: Student Activities 43,44,45,46.
Review: for Final Exam and the AP Exam
1 week
Comprehensive Final Exam: One long-answer question, one short-answer questions, and multiplechoice section (30 questions) of an AP Released Exam. Two class periods are planned for the exam.
*In addition to the textbook, analyzed/summarized articles including a graph or
illustration will be due bi-weekly relating to the topic currently in review*
Articles must be from reputable sources and assignment must include the attached article. We will be
discussing these articles in class and they will increase your understanding of discussed theories in
practice.