AP Macroeconomics Unit 1 Introduction to Economics

Chapters 1-3, McConnell-Brue, 15th Ed.

In this unit, students will be introduced to the economic concepts of scarcity, opportunity cost, and
marginal analysis.
Students will learn and use the production possibility frontier and circular flow models.
Students will participate in a simulation of the circular flow and will use the production possibility
frontier to analyze the benefits of voluntary exchanges.
Students will use the market model to analyze changes in demand, supply, quantity demanded and
quantity supplied.
Students will understand characteristics of a capitalistic economy and analyze the households, firms
and government as economic participants in capitalism.
Students will be able to determine comparative advantage, and the benefits from specialization and
voluntary trades.
Students will understand corporate financing using retained earnings, equity financing and debt
financing.

Monday Tuesday Wednesday Thursday Friday

Jan 2 3 4 5 6
Notes p. 1-6 Notes p. 7-10 Notes p. 11-12 Problem Set

Syllabus/Calendar Return signed Supply/Demand

AP Contracts AP contract Problems

9 10 11 12 13
Unit 1 Test

(45 multiple
choice questions
in 50 minutes)