E) Neither owner has a dominant strategy. Get FRQs with included sample responses with a license to Alberts AP Microeconomics. free-response questions with scoring guides to help you evaluate student work. 16 terms. When the actual inflation rate exceeds the expected inflation rate, lenders will receive lower real interest rates than expected. What is culture, and what are the five key dimensions that can be used to describe it? Assume the government implements a policy that causes a market to produce the socially optimal level of output. 22 terms. 17 terms. A) Nominal GDP uses constant prices to measure the value of final output, while real GDP uses current prices. Among the largest crocodilians in the world, gharials have long, heavy bodies and relatively small heads with bulging eyes and skinny snouts. get rich)? 27 terms. D) 2015 What Units are on the 2022 AP Microeconomics Exam? B) there are a large number of rival firms producing more differentiated products B) Myron gains, while the bank remains unaffected. : Complete Unit 2 Progress Check MCQ . b. energy prices increase. His prospective employers want hard copies of his resume, so he wants to have 400 copies of his resume printed. Jan works a 30-hour week for a minimum wage of $10 an hour. D) mutual interdependence A) Both Art and Zeb will lower prices. D) The dominant strategy for Zeb's is to charge the same prices. Progress checks help you gauge student knowledge and skills for each unit through: My Reports highlights progress for every student and class across AP units. E) Real GDP = Nominal GDP - GDP deflator, A) Real GDP = Nominal GDP/GDP deflator b. A range of factors, including disease, famine, or in the case of this research, heat stress, can stimulate these subtle changes. 21 terms. 1. B) Nominal GDP uses current prices to measure the value of final output, while real GDP uses constant prices. A) This will benefit lenders with fixed-interest rate loans. define resources and the cause(s) of their scarcity, define how resource allocation is influenced by the economic system adopted by society, define (using graphs as appropriate) the production possibilities curve (PPC) and related terms, explain (using graphs as appropriate) how the production possibilities curve (PPC) illustrates opportunity costs, trade-offs, inefficiency, efficiency, and economic growth or contraction under various conditions, calculate (using data from PPCs or tables as appropriate) opportunity cost, define absolute advantage and comparative advantage, determine (using data from PPCs or tables as appropriate) absolute and comparative advantage, explain (using data from PPCs or tables as appropriate) how specialization according to comparative advantage with appropriate terms of trade can lead to gains from trade, calculate (using data from PPCs or tables as appropriate) mutually beneficial terms of trade, define opportunity cost and explain or calculate the opportunity costs associated with choices, explain a decision by comparing total benefits and total costs (using a table or a graph when appropriate), calculate total benefits and total costs (using a table or graph where appropriate), define the key assumptions of consumer choice theory, explain (using a table or graph as appropriate) how a rational consumers decision making involves the use of marginal benefits and marginal costs, calculate (using a table or a graph when appropriate) how a rational consumers decision making involves the use of marginal benefits and marginal costs, define marginal analysis and related terms, explain a decision using marginal analysis (using a table or a graph when appropriate), define (using graphs as appropriate) key terms and factors related to consumer decision making and the law of demand, explain (using graphs as appropriate) the relationship between price and quantity demanded and how buyers respond to incentives and constraints, explain (using graphs as appropriate) buyers responses to changes in incentives and constraints, define (using graphs as appropriate) the law of supply, explain (using graphs as appropriate) the relationship between price and quantity supplied, explain (using graphs as appropriate) producers (sellers) responses to changes in incentives and technology, explain (using graphs where appropriate) measures of elasticity and the impact of a given price change on total revenue or total expenditure, calculate (using data from a graph or a table as appropriate) measures of elasticity, define (using graphs as appropriate) market equilibrium, consumer surplus, and producer surplus, explain (using graphs as appropriate) how equilibrium price, quantity, consumer surplus, and producer surplus for a good or service are determined, calculate (using data from a graph or table as appropriate) areas of consumer surplus and producer surplus at equilibrium, explain (using graphs where appropriate) how changes in underlying conditions and shocks to a competitive market can alter price, quantity, consumer surplus, and producer surplus, calculate (using data from a graph or table as appropriate) changes in price, quantity, consumer surplus, and producer surplus in response to changes in market conditions or market disequilibrium, define forms of government price and quantity intervention, explain (using graphs where appropriate) how government policies alter consumer and producer behaviors that influence incentives and therefore affect outcomes, calculate (using data from a graph or table where appropriate) changes in market outcomes resulting from government policies, explain (using graphs where appropriate) how markets are affected by public policy related to international trade, calculate (using data from a graph or table as appropriate) changes in market outcomes resulting from public policy related to international trade, Unit 3: Production, Cost, and the Perfect Competition Model, define (using graphs where appropriate) key terms and concepts relating to production and cost, explain (using graphs where appropriate) how production and cost are related in the short run and long run, calculate (using data from a graph or table as appropriate) the various measures of productivity and short-run and long-run costs, explain how firms respond to profit opportunities, define (using graphs or data as appropriate) the profit-maximizing rule, explain (using a graph or data as appropriate) the profit-maximizing level of production, explain (using graphs or data where appropriate) firms short-run decisions to produce positive output levels, or long-run decisions to enter or exit a market in response to profit-making opportunities, define (using graphs as appropriate) the characteristics of perfectly competitive markets and efficiency, explain (using graphs where appropriate) equilibrium and firm decision making in perfectly competitive markets and how prices in perfectly competitive markets lead to efficient outcomes, calculate (using data from a graph or table as appropriate) economic profit (loss) in perfectly competitive markets, define (using graphs where appropriate) the characteristics of imperfectly competitive markets and inefficiency, explain (using graphs where appropriate) equilibrium, firm decision making, consumer surplus, producer surplus, profit (loss), and deadweight loss in imperfectly competitive markets and why prices in imperfectly competitive markets cannot be relied on to coordinate the actions of all possible market participants and can lead to inefficient outputs, calculate (using data from a graph or table as appropriate) areas of consumer surplus, producer surplus, profit (loss), and deadweight loss in imperfectly competitive markets, define (using tables as appropriate) key terms, strategies, and concepts relating to oligopolies and simple games, explain (using tables as appropriate) strategies and equilibria in simple games and the connections to theoretical behaviors in various oligopoly market and non-market settings, calculate (using tables as appropriate) the incentive sufficient to alter a players dominant strategy, define (using graphs where appropriate) key terms and concepts relating to factor markets, explain (using graphs where appropriate) the relationship between factors of production, firms, and factor prices, calculate (using data from a graph or table where appropriate) the marginal revenue product and marginal resource cost, explain (using graphs where appropriate) firms and factors responses to changes in incentives and constraints, define (using graphs as appropriate) the characteristics of perfectly competitive factor markets, explain (using graphs where appropriate) the profit-maximizing behavior of firms buying labor (with other inputs fixed) in perfectly competitive markets, calculate (using data from a graph or table where appropriate) measures representing the profit-maximizing behavior of firms buying labor (with other inputs fixed) in perfectly competitive markets, define (using graphs as appropriate) the characteristics of monopsonistic markets, explain (using graphs where appropriate) the profit-maximizing behavior of firms buying labor (with other inputs fixed) in monopsonistic markets, calculate (using data from a graph or table where appropriate) measures representing the profit maximizing behavior of firms buying labor (with other inputs fixed) in monopsonistic markets, Unit 6: Market Failure and the Role of Government. The output gap is measured by the difference between actual and potential GDP. The AP Higher Education section features information on recruitment and admission, advising and placement, and more. The graph shows the cost and revenue curves for a monopoly that produces teddy bears. The above payoff matrix illustrates the daily profit for two restaurant owners, Art and Zeb. C) 2013 ea1104. Speculation ensued among researchers and government officials about what caused the die-off. 21 terms. These materials are part of a College Board program. AP Macroeconomics: Unit 3 Progress Check MCQ. Explain. a), Assume gadgets are sold in a competitive market, the equilibrium price is $6, and the equilibrium quantity is 500 units. B) ensure that firms produce the allocatively efficient quantity of output C) This will harm lenders with fixed-interest rate loans. Which of the following is an example of a nonrival resource? Suppose that last year is the base year for the Consumer Price Index (CPI). Based solely on the information given, do you have reason to question the results of the following hypothetical studies? Based on the Understanding by Design (Wiggins and McTighe) model, the course framework provides a clear and detailed description of the course requirements necessary for student success. Correct. 4 min read december 12, 2021. These videos are still very much relevant today. What is the investments FV at rates of 0%, 5%, and 20% after 0, 1, 2, 3, 4, and 5 years? What is the firm's profit-maximizing quantity of output? create custom quizzes that can be assigned online or on paper. Q. encourage students to take advantage of on their own, on mobile devices or computers. C) The dominant strategy for Zeb's is to lower prices. Real GDP in 1984 dollars would be equal to which of the following? The first entry in each cell indicates the profits for Art, and the second entry in each cell indicates the profits for Zeb. . Which of the following can be concluded as a result of this transaction? B) This will harm lenders with variable-interest rate loans. Number of Workers Quantity of Output 0 0 1 8 2 15 3 21 4 26 5 30 If the firm sells its product at the market price of $10 per unit, the marginal revenue product of the fourth worker is A) $40 B) $50 C) $65 D . Below, weve linked to a handful of sites we think feature helpful course notes or videos to help you master the core economic concepts tested. Download free-response questions from past exams along with scoring guidelines, sample responses from exam takers, and scoring distributions. Correct. below. What is the annuitys FV? B) Amy's will lower prices, and Sam's will charge the same prices. Monopoly, Deadweight Loss, Shut Down, Fixed Costs, Marginal Analysis, Consumer Surplus, Cross-Price Elasticity, Supply and Demand, Excise Taxes, Tax Revenue, Producer Surplus, Perfect Competition, Supply and Demand, Price Ceiling, Marginal Analysis, Opportunity Cost, Marginal Cost, Marginal Benefit, Monopoly, Negative Externality, Socially Optimal, Per Unit Tax, Dead Weight Loss, Monopoly, Price Discrimination, Consumer Surplus, Economies of Scale. 15 terms. If the price of an apple is $0.50, how many. Liza0554. How would each group be affected by an actual inflation rate of 4% next year? In 2011 nominal GDP was $15 billion and the price deflator was 200. 20 terms. If the price of an apple is $0.50, the marginal utility per dollar spent for the fifth apple is: (A) 20 (B) 30 (C) 40 (D) 60 (E) 100 AP MICROECONOMICS Scoring Guide Unit 1 Progress Check: MCQ 2. What effective annual rate does each bank pay? His local print shop charges $91.50 for the first 200 copies and$420 for every 100 additional copies. D) Both Art and Zeb will charge the same prices. If all of the banks are insured by the government (the FDIC) and thus are equally risky, will they be equally able to attract funds? # of Questions. AP, IB, and College Microeconomicand Macroeconomic Principles. C) Real GDP = Nominal GDP GDP deflator D) Nominal GDP includes sales of used goods while real GDP does not.