Advanced Placement (AP) Microeconomics
Autumn 2014
Mr. Rust, Room 520, Midland High School
AP Microeconomics is a course formulated to teach students to be aware of important concepts related to the functioning of the individual firm, or business entity, in the larger economy. Microeconomics is important because it allows students to learn how to think, plan, and rationalize decisions using cost-benefit analysis, complex analysis, and use graphs and other visuals to explain their decision-making processes to others.
Textbook:
McConnell, C.R. & Brue, S.L. (2002). Economics: Principles, Problems, and Policies – Fifteenth Edition. Boston: McGraw-Hill Irwin.
- There is a class set of textbooks, with each student per period being assigned a certain textbook.
- Of the remaining textbooks that are in good condition, a select number may be checked out on a first-come, first-served basis.
Additional resources:
The exam is May 15, 2015 at noon. Be there.
We are an AVID campus and take Cornell notes. All the time. For a grade. Accept it.
Student Evaluation:
- Daily Grades = 40%
- Daily grades primarily consist of Bellringer assignments done during class. Bellringers are turned in on the last day of every week (usually Friday) unless there are extenuating circumstances.
- Students who are absent do not have to make up the Bellringers for those days.
- However, you can get a bad grade if you were only present for one or two Bellringers during a week and you did poorly on them, so you may complete the Bellringers for the day(s) you were absent to help pad your grade.
- If you are absent for a Bellringer, write that you were absent for that Bellringer at the top of your Bellringer page before you turn it in on the last day of the week.
- Two days after Bellringers are turned in a substitute assignment will have to be done for credit. This is to prevent cheating.
- Major Grades = 60%
- The tests consist of a multiple choice section (75%) and a math/graphing/free response section (25%).
- Multiple choice questions will come directly from the notes, AP practice questions, and final exam questions.
- Students will receive AP practice questions before the test. Some of them will be on the test. Some will not.
- Toward the end of each six weeks there will be a Notes Grade that counts as a test grade. We take Cornell notes in AP Economics. No exceptions. For 100% on your Notes Grade, you must have Cornell note format andkey points and summaries.
- Retakes, when offered, can earn up to 80% credit. This 80% is achieved by multiplying retake raw grade by .8
- Retakes will occur during lunch only. There is not enough time to take an AP Economics test between 8:00 AM and 8:25 AM.
- Only in the most extenuating of circumstances will any exception to this rule be considered.
- All students will be assumed to be taking the AP Microeconomics and Macroeconomics exams in May 2015. All AP test prep assigned in class will be for a grade for all students.
Rules and Expectations:
1.) All students should respect classmates, teachers, and guests to the classroom at all times.
2.) Students should not cheat, ever. Honesty counts.
3.) All school rules regarding cell phones, dress code, food and drink, and personal behavior are always in effect.
4.) Do your own work when you’re supposed to do it. Late work will lose credit fast.
5.) Treat others as you would like to be treated.
Tutorial Times:
Tutorials and make-up opportunities for missed assignments are held in Room 521 before school, from 8:00 to 8:25 AM, and over lunch. For other times, please contact Mr. Rust to schedule a meeting.
Unit 1: Basic Economic Concepts (4 ½ weeks)
Chapter 1: The Nature and Method of Economics (p. 3-19)
Chapter 2: The Economizing Problem (p. 22-35)
Chapter 3: Individual Markets (p. 40-55)
Chapter 6: The United States and the Global Economy (p. 93-109)
Chapter 20: Supply and Demand (p. 374-390)
Chapter 21: Consumer Behavior and Utility Maximization (p. 394-405).
Date Concepts/Information Learned Assignment
August 27-28Course Overview/Classroom Rules
August 29Introduction, Why We Graph Read p. 2, 15-19
Answer questions #3-4 on page 20.
September 2-3Economic Way of Thinking Read p. 3-13.
Answer questions #7, 9 on page 16.
September 4-5Scarcity, Production Possibilities Curve, Read p. 22-33, 36. Define terms and
Implicit and Explicit Costsconcepts up through economic system in your notes (p. 37). Answer # 4, 5, and 7 on p. 38.
September 8Economic Systems Read p. 34-35. Define terms and concepts in your notes.
Answer #15-17 on p. 38.
September 9Review, Quiz?
September 10-11Comparative and Absolute Advantage Read p. 98-101. Define terms and concepts.
September 12-19Supply & Demand Read Chapter 3. Define terms. Marginal analysis Answer # 1-6 on p. 56-57.
Income effect
Substitution effect
Diminishing marginal utility
Consumer surplus
September 22-25Price Elasticity of Demand Read p. 374-386. Define terms. Answer #
Total Revenue test 5-7, 9 on p. 392.
Calculating Elasticity Coefficients
Income Elasticity of Demand
Cross Elasticity of Demand
September 26Working on Graphs
Review for Test
September 29Unit 1 Exam
Unit 2: Nature and Function of Product Markets; Perfect Competition (2 ½ weeks)
Chapter 22: The Costs of Production (p. 415-434)
Chapter 23: Pure Competition (p. 437-460)
Date Concepts/Information Learned Assignment
September 30Market Structure Overview Read p. 437-438. Assignment on product
Product Differentiation differentiation at end of class.
October 1-7Costs Read Chapter 22. Define terms and
Diminishing Marginal Returnsconcepts. Answer #1-6 on p. 434-435.
Normal profits
Economic profits
Long Run/Short Run
Costs of Production (ATC, AVC, MC, AFC)
October 8-13Revenue, cost, profit Read p. 426-460 (Last half of Chapter 2 Perfect Competition and all of Chapter 3). Define terms and Profit, Loss, Break-Even, Shut Down concepts. Answer #3-5 on p. 460-461.
Long Run Equilibrium Quiz likely.
Productive Efficiency
Allocative Efficiency
LRAC and SRAC
Economies and Diseconomies of Scale
October 14Review for Unit 2 exam
October 15Unit 2 Exam
Unit 3: Perfect Competition, Monopoly, Monopolistic Competition, Oligopoly (2 ½ weeks)
Chapter 24: Pure Monopoly (p. 463-483)
Chapter 25: Monopolistic Competition and Oligopoly (p. 486-508)
Date Concepts/Information Learned Assignment
October 16-17Monopoly Read p. 463-472. Define terms and
Downward sloping demand curve concepts.
Consumer and producer surplus
October 20-24Regulating Monopoly Read p. 472-483. Define terms and
Socially Optimal Priceconcepts. Answer # 2-3, 5-8 on p. 483-
Fair-Return Price484.
Price Discrimination
October 27Quiz on Monopolies
October 28-29Monopolistic Competition Read p. 486-493. Define terms and
concepts.
October 30-31Oligopoly Read p. 493-508. Define terms and
Game Theoryconcepts. Answer #1, 4-8 on p. 508-509.
Kinked Demand Curve
November 3Review
November 4Unit 3 Exam
Unit 4: Factor Markets (2 weeks)
Chapter 2: The Economizing Problem (p. 34-35)
Chapter 27: The Demand for Resources (p. 532-547)
Chapter 28: Wage Determination (p. 550-570)
Chapter 29: Rent, Interest, and Profit (p. 572-585)
Date Concepts/Information Learned Assignment
November 5Circular Flow of Economic Activity review Read p. 34-35.
November 6-10Derived Demand Read Chapter 27. Define terms and
MRC = MRPconcepts. Answer #1-4 on p. 548.
Least Cost/Profit Maximizing
Combination of Resources
November 11-13Wage Discovery in Competitive Markets Read p. 550-557, 562-563. Define terms
Role of Unions and concepts.
Minimum Wage Argument
Distribution of Income
November 14Economic Rent Read p. 572-576. Define terms and
concepts. Answer #1-3a-d on p. 585.
November 17Review
November 18Unit 4 Exam
Unit 5: Market Failure and the Role of Government (3 weeks)
Chapter 5: The U.S. Economy (p. 73-91)
Chapter 30: Government and Market Failure (p. 588-608)
Chapter 31: Public Choice Theory and the Economics of Taxation (p. 611-628)
Date Concepts/Information Learned Assignment
November 19-21Role of Government Read p. 588-592.
Public Goods Define terms and concepts.
November 24Externalities Read p. 592-608. Define terms and
Coase Theorem concepts. Answer #1-6 on p. 608-609.
Marginal Analysis
HAPPY THANKSGIVING!!!
December 1-3Market Failure Read p. 80-82. Political assignment.
Public Goods
December 4Taxes Read p. 619-620. Political assignment.
December 5Review
December 8Unit 5 Exam
Post Unit 5: Semester Review, Make-Up Time, Link to Macroeconomics (Spring Semester)
December 9-15Review for Final Exam
December 16-19Final Exam Week