History and Social SciencesMacroeconomics

AP Macroeconomics

Use economic models, graphs, and data to explain national output, inflation, unemployment, financial markets, stabilization policy, growth, and international finance.

Course map

Open a section, then choose the exact idea.

Unit 1Basic Economic Concepts6 topics

Build the core tools of scarcity, opportunity cost, comparative advantage, supply and demand, and equilibrium that support every later model.

  1. 1.1Scarcity
  2. 1.2Opportunity Cost and the Production Possibilities Curve (PPC)
  3. 1.3Comparative Advantage and Gains from Trade
  4. 1.4Demand
  5. 1.5Supply
  6. 1.6Market Equilibrium, Disequilibrium, and Changes in Equilibrium

Unit 2Economic Indicators and the Business Cycle7 topics

Learn how economists measure output, prices, and employment, recognize the limits of those measures, and interpret movement through the business cycle.

  1. 2.1The Circular Flow and GDP
  2. 2.2Limitations of GDP
  3. 2.3Unemployment
  4. 2.4Price Indices and Inflation
  5. 2.5Costs of Inflation
  6. 2.6Real v. Nominal GDP
  7. 2.7Business Cycles

Unit 3National Income and Price Determination9 topics

Use aggregate demand and aggregate supply to explain short- and long-run equilibrium, economic fluctuations, fiscal policy, and automatic stabilization.

  1. 3.1Aggregate Demand (AD)
  2. 3.2Multipliers
  3. 3.3Short-Run Aggregate Supply (SRAS)
  4. 3.4Long-Run Aggregate Supply (LRAS)
  5. 3.5Equilibrium in the Aggregate Demand–Aggregate Supply (AD–AS) Model
  6. 3.6Changes in the AD–AS Model in the Short Run
  7. 3.7Long-Run Self-Adjustment
  8. 3.8Fiscal Policy
  9. 3.9Automatic Stabilizers

Unit 4Financial Sector7 topics

Connect financial assets, interest rates, money, banking, monetary policy, and loanable funds to spending and investment across the economy.

  1. 4.1Financial Assets
  2. 4.2Nominal v. Real Interest Rates
  3. 4.3Definition, Measurement, and Functions of Money
  4. 4.4Banking and the Expansion of the Money Supply
  5. 4.5The Money Market
  6. 4.6Monetary Policy
  7. 4.7The Loanable Funds Market

Unit 5Long-Run Consequences of Stabilization Policies7 topics

Evaluate short-run policy choices against long-run inflation, debt, crowding out, and growth, using connected macroeconomic models rather than isolated rules.

  1. 5.1Fiscal and Monetary Policy Actions in the Short Run
  2. 5.2The Phillips Curve
  3. 5.3Money Growth and Inflation
  4. 5.4Government Deficits and the National Debt
  5. 5.5Crowding Out
  6. 5.6Economic Growth
  7. 5.7Public Policy and Economic Growth

Unit 6Open Economy—International Trade and Finance6 topics

Explain international payments, exchange-rate markets, net exports, real interest rates, and capital flows in an interconnected economy.

  1. 6.1Balance of Payments Accounts
  2. 6.2Exchange Rates
  3. 6.3The Foreign Exchange Market
  4. 6.4Effect of Changes in Policies and Economic Conditions on the Foreign Exchange Market
  5. 6.5Changes in the Foreign Exchange Market and Net Exports
  6. 6.6Real Interest Rates and International Capital Flows