AP Microeconomics
Mr. McCormick
Email: john.mccormick@cr.k12.de.us
Phone: (302) 697-2161, ext. 4115
Website: www.mrmccormick.net
Office Hours: Monday thru Friday 6:45-8:00 AM, or by appointment
Course Syllabus
Fall 2015 Semester
Introduction and Purpose
This course is intended to serve as an introductory one semester college-level course in microeconomics. The overall goal of
the course is twofold. First, the course is intended to provide you with a college experience while still in the familiar
surroundings of high school. Second, you will become more prepared for the Advanced Placement examination in
Microeconomics.
The College Board’s “Course Description” for Microeconomics explains the content purpose of the course as follows:
“The purpose of an AP course in microeconomics is to give students a thorough understanding of
the principles of economics that apply to the functions of individual decision makers, both
consumers and producers, within the economic system. It places primary emphasis on the nature
and functions of product markets, and includes the study of factor markets and of the role of
government in promoting greater efficiency and equity in the economy.”
Textbook
McConnell, Campbell R., Stanley L. Brue, and Sean M. Flynn, Economics: Principles, Problems, and Policies, AP Edition.
New York: McGraw-Hill / Irwin, 2012. Nineteenth Edition.
Supplemental Materials
Chasey, James, Multiple Choice and Free-Response Questions in Preparation for the AP Economics Examination.
Brooklyn, NY: D & S Marketing Systems, Inc., 2002. Second Edition.
Selected readings and websites
Course Outline
Unit I: Basic Economic Concepts (2 weeks)
Chapters 1 and 2
Unit Exam
September 15
Topics:
Economic Way of Thinking, Scarcity, and Choice
Opportunity Cost
Production Possibilities Curve
Comparative and Absolute Advantage
Specialization and Trade
Economic Systems
Property Rights and the Role of Incentives
Marginal Analysis
Unit II: Supply, Demand, and the Theory of Consumer Choice (3 weeks)
Chapters 3, 4, 6, and 16
Unit Exam
October 8
Topics:
Determinants of Demand
Determinants of Supply
Market Equilibrium
Price and Quality Controls
Price Elasticities of Demand
Price Elasticities of Supply, Income, and Cross-Elasticity of of Demand
Consumer Surplus, Producer Surplus, and Market Efficiency
Tax Incidence and Deadweight Loss
Total Utility and Marginal Utility
Utility Maximization: Equalizing Marginal Utility per Dollar
Individual and Market Demand Curves
Income and Substitution Effects
Unit III: Production Costs, Firm Behavior, and Market Structure (5 weeks)
Chapters 7, 8, 9, 10, and 11
Unit Quiz on Production Costs
October 22
Unit Quiz on Pure Competition and Monopoly
November 5
Unit Exam
November 18
Topics:
Economic Costs: Short-Run and Long-Run
Marginal Product and the Law of Diminishing Returns
Short-Run Costs
Long-Run Costs
Profit Maximization: Normal v. Economic Profit
Marginal Revenue = Marginal Cost
Profit Maximization in Pure Competition Short-Run Supply
Shutdown Decision
Behavior of Firms in the Short-Run and Long-Run
Pure Competition and Efficiency
Monopoly: Formation and a Natural Monopoly
Profit Maximization in a Pure Monopoly
Inefficiency of Monopoly
Price Discrimination in a Monopoly
Nature of Monopolistic Competition
Profit Maximization in Monopolistic Competition
Excess Capacity and Inefficiency in Monopolistic Competition
Interdependence, Collusion, and Cartels in an Oligopoly
Game Theory Behavior and Profit Maximization in an Oligopoly
Unit IV: Factor Markets, Market Failures, and the Role of Government (3 ½ weeks)
Chapters 5, 12, 13, 16, 18, and 20
Unit Quiz on Factor Markets
December 2
Unit Exam
December 11
Topics:
Marginal Productivity Theory of Resource Demand
Determinants of Resource Demand
Elasticity of Resource Demand and the Optimal Combination of Resources
Marginal Productivity Theory of Income Distribution
General Level of Wages
Labor, Wages, and Earnings
Wage Determination
Wage Differntials
Public Goods
Marginal Social Benefit and Marginal Social Cost
Externalities
Remedies
Antitrust Policy
Regulation
Inequity in Income Distribution and Equality v. Efficiency
Sources of and Trends in Income Inequality
Grading Procedure
In this course your assignments will be broken into 3 main categories: Tests (which includes quizzes), Projects, and FreeResponse Questions (FRQ). The weight for the various areas is as follows:
Tests:
60%
Projects:
15%
FRQs:
25%
Tests
Units I, II, and IV will culminate with a test consisting of 20 multiple choice questions and either one or two free-response
questions. The questions on the test are cumulative and may require application of knowledge gained in previous units.
Because Unit III is the largest unit, you will be assessed on two quizzes and one test. These are the only planned quizzes for
the course. Each will consist of 10 multiple choice questions and one or two FRQs. Those quizzes will be worth one half of
one test each. Quizzes may be added when needed. The Unit III Test is cumulative.
Projects
The nature of the project will change from year to year depending on the needs of the students and course. More
information on these projects and their due dates will come at a later time.
Free-Response Questions
In addition to a cumulative test, each unit will also include an FRQ-exclusive assessment. This will be given in the middle
of the unit to monitor your understanding of the material prior to the end-of-unit test. Some of the questions will require the
application of knowledge gained in previous units.
Make-Up Work
It is the responsibility of the STUDENT to arrange for a time to complete make-up work due to an absence. YOU WILL
HAVE ONE WEEK TO MAKE UP AN ASSIGNMENT. AFTER THAT TIME THE GRADE WILL BECOME A ZERO. If
you have an extended illness or permission from the instructor, this timeline may be extended. The best time to complete
make up work is from 7 AM to 8AM, but this should still be arranged with the instructor prior to arriving to avoid conflicts.
(*NOTE: This is subject to change based on application of PLC to the Staff Workday.) After school appointments can be
made as necessary.
Marking Period Grades
Although this is an Advanced Placement course, your marking period grade will be based on the Caesar Rodney School
District scale as follows:
A = 92%-100%
B = 85%-91%
C = 75%-84%
D = 70%-74%
F = Below 70%
Course Grades
This is a full year course when combined with AP United States Government and Politics. Therefore, you will be graded
based upon the Caesar Rodney School District scale for full year courses as follows:
First M.P.
Second M.P.
Mid-Term
Third M.P.
= 20%
= 20%
= 10%
= *25%
Fourth M.P.
= *25%
*Note: if you are required to take the Final Exam it will be counted as 10% of your final grade for the course and the Third
and Fourth Marking Period grades will both be worth 20% of your final grade for the course.
The AP Exam
The Advanced Placement Microeconomics exam will be given at 8:00 AM on Friday, May 13, 2016. The following
description of the exam comes from the College Board’s “Course Description” for Microeconomics:
“The AP Microeconomics Exam … [is] a little over two hours long. [The] exam consists of a 70
minute multiple choice section and a 60 minute free response section. Some questions in the free
response section require graphical analysis. The free response section begins with a mandatory
10 minute reading period. During this period, students are advised to read each of the questions,
sketch graphs, make notes, and plan their answers. Students then have 50 minutes to write their
answers. The multiple choice section accounts for two-thirds of the student’s exam grade and the
free-response section for the remaining one-third.”
Free Response: -One-third of exam score
-60 minutes for all (10 minutes for reading, 50 minutes for response
-One long essay (50% of the free response score)
-Two short essays (together totaling 50% of the free response score)
Multiple Choice: -Two-thirds of exam score
-70 minutes
-60 questions
-Percentage of questions asked by unit area:
-Basic Economic Concepts (8-14%)
-Supply and Demand (15-20%)
-Theory of Consumer Choice (5-10%)
-Production Costs (10-15%)
-Firm Behavior and Market Structure (25-35%)
-Factor Markets (10-18%)
-Market Failures and the Role of Government (12-18%)
The registration date for the exam will be announced at a later date, but is typically in March.