Advanced Placement Macroeconomics Correlation Guide for Economics, 19th Edition by McConnell-Brue-Flynn

Topic Pages
I. Basic Economic Concepts (8-12%)
  A. Scarcity, choice, and opportunity costs 4, 5, 7, 9, 10, 12-14, 17, 18
  B. Production possibilities curve 11-18
  C. Comparative advantage, specialization, and exchange 6-12, 18, 20, 21, 404, 405, 437, 754-779
  D. Demand, supply, and market equilibrium 47-65
  E. Macroeconomic issues: business cycle, unemployment, inflation, growth 472-483, 527-529
II. Measurement of Economic Performance (12-16%)
  A. National income accounts
    1. Circular flow 40-41, 495, 496
    2. Gross domestic product 486, 487
    3. Components of gross domestic product 487-493
    4. Real versus nominal gross domestic product 497-499
  B. Inflation measurement and adjustment
    1. Price indices 535, 537, 543
    2. Nominal and real values 497-499, 538
    3. Costs of inflation 473, 538, 539
  C. Unemployment
    1. Definition and measurement 473, 529, 530
    2. Types of unemployment 530, 531
    3. Natural rate of unemployment 531
III. National Income and Price Determination (10-15%)
  A. Aggregate demand
    1. Determinants of aggregate demand 592
    2. Multiplier and crowding-out effects 560-564, 573, 574, 578, 580-585, 587, 624, 625, 628, 629, 632
  B. Aggregate supply
    1. Short-run and long-run analyses 594-597
    2. Sticky versus flexible wages and prices 478-483, 750
    3. Determinants of aggregate supply 598-600
  C. Macroeconomic equilibrium
    1. Real output and price level 601, 685
    2. Short and long run 594-597, 600-607, 718-720
    3. Actual versus full-employment output 532, 594-597, 602-604
    4. Economic fluctuations 557-560
IV. Financial Sector (15-20%)
  A Money, banking, and financial markets
    1. Definition of financial assets: money, stocks, bonds 639, 640, 701, 702
    2. Time value of money (present and future value) 300, 301, 698-700
    3. Measures of money supply 637-642, 645, 646, 672, 675
    4. Banks and creation of money 655-657, 663-677
    5. Money demand 671-673
    6. Money market 671-673
    7. Loanable funds market 298-303, 310, 312
  B Central bank and control of the money supply
    1. Tools of central bank policy 675-680
    2. Quantity theory of money 738, 739
    3. Real versus nominal interest rates 302, 540, 555
V. Inflation, Unemployment, and Stabilization Policies (20-30%)
  A Fiscal and monetary policies
    1. Demand-side effects 731, 732
    2. Supply-side effects 731, 732
    3. Policy mix 747, 748
    4. Government deficits and debt 612, 625-632
  B The Phillips curve
    1. Short-run and Long-run Phillips curves 728, 729
    2. Demand-pull versus cost push inflation 535-538
    3. The role of expectations 730, 734, 741, 742, 743, 750, 751
VI. Economic Growth (5-10%)
  A Definition of economic growth
  B Determinants of economic growth
    1. Investment in human capital 511, 516-517
    2. Investment in physical capital 267, 268, 302, 3099
    3. Research and development, and technological progress 6, 474-475
  C Growth policy 506, 511-514
VII. Open Economy: International Trade and Finance (10-15%)
  A Balance of payments accounts
    1. Balance of trade 782
    2. Current account 782-783
    3. Financial account (formerly known as capital account) 783, 784
  B Foreign exchange market
    1. Demand or supply of foreign exchange 787-789
    2. Exchange rate determination 785-792
    3. Currency appreciation and depreciation 785-789
  C Imports, exports, and financial capital flows 490, 491, 495, 502, 574-577, 586, 591, 593, 594, 755, 795
  D Relationships between international and domestic financial and goods markets 755, 756