AP Microeconomics Week of 1/29/18

MON-Notes on the supply and demand for labor, shifters of supply and demand, the minimum wage, and MRP and MRC

Practice calculating MRP for the firm

TUE-Notes on the supply and demand for labor, shifters of supply and demand, and the minimum wage, and MRP and MRC

Practice calculating MRP for the firm

WED-MRP Quiz

Work practice FRQs on the labor markets

Begin notes on least cost and profit max rules

THUR-MRP Quiz

Work practice FRQs on the labor markets

Begin notes on least cost and profit max rules

FRI-Labor market quiz–FRQ style

Least cost and profit max rules

Quiz Monday least-cost and profit-max rules

Honors Economics Week of 1/29/18

MON-Practice worksheet on equilibrium

Draw equilibrium graphs and changes given news scenarios

Equilibrium quiz

Circular Flow models sheet

TUE-Circular Flow quiz

Bring books to class-business organizations graphic organizer

WED-Quiz on Chapter 2 of Naked Economics

Bring books to class-market structures graphic organizer

THUR-Quiz on market structures

Problem sets for Unit 2 due-grade in class

FRI-Unit 2 Microeconomics

Answers to Practice Questions for AP

I guess that fish will learn not to try and enter an oligopoly or monopoly.  They have beariers to entry.

Practice problems on a Thursday.  Utils= -843

This is for the two-sided one page sheet you got in class today.

1. F; statement has it backwards
2. T; self-explanatory but understand that in the long run the firm can choose a variety of different inputs; in the short-run at least something has to be fixed
3. T; at some point adding more people isn’t going to increase MP anymore
4. F; actually there would be diseconomies scale
5. T; they are referring to total fixed costs, those stay the same; AFC does go down as Q goes up
6. F; average total cost would be \$5 but not TC, would have to multiply ATC X Q to get TC
7. T; if TC=\$100 then TVC=\$70 (\$100-\$30); take \$70/20=\$3.50
8. T; AVC is between AVC and ATC; the gap is biggest when output is 1 and it declines with more output
9. F; ATC includes both AFC and AVC so rising variable costs could drive ATC back up; remember,  ATC is that U-shaped thing we’ve been drawing for months so it goes back up
10. F; if there are diminishing marginal returns it will cause those costs to go back up
11. T; yep, when MC is below ATC it pulls it down, when it’s above it it pulls it up; that’s why it intersects it at the lowest point
12. T; yepper, see last question
13. F; not unless MC is back above ATC
14. \$10; TFC=\$10 because when there is no output TC = TFC
15. \$12; MC=change in TC/change in output; (36-24)/(3-2)= \$12/1 = \$12
16. \$13; ATC=TC/output; \$52/4=\$13
17. \$8; TVC=TC-TFC; we know TFC is \$10 from question 14; take \$18-\$10 and TVC for 1 unit=\$8
18. \$7; TVC for 2 units is \$14 (\$24-\$10); AVC=TVC/output; \$14/2=\$7
19. 3 units; you need to calculate a MC chart and then produce all the units where the price they gave you (\$15) exceeds or equals the MC (MR=MC rule); produce 3 units because that’s the last unit where this is true; 4 is too many because MC=\$16 but MR is only \$15
20. \$9; When they ask for profit they mean total profit unless they ask for per-unit or marginal; Total profit=TR-TC; if they make 3 units TR=\$45 (3x\$15) and TC=\$36 (from chart); \$45-\$36=\$9
21. E
22. A
23. C; remember economies of scale is a long-run phenomenon whereby a firm increases its output and sees a decline in its ATC
24. B; remember, identical products in perfect competition and the demand curve for the industry is downward sloping but for the firm it’s horizontal
25. E; MR=MC
26. D; remember no barriers to entry in perfect competition; if people see a profit being made, they’ll join the industry until economic profits are driven to 0
27. E; answer kind of says it but in the short-run you should produce if your revenue can cover your variable cost; if she continues producing her loss is \$5 (\$150-155); if she shuts down she’ll lose all the fixed costs of \$15 (\$155-\$140).
28. C; a firm should produce until MR=MC or the last unit where MR>MC.  If MC>MR on your last unit, you’re making too much

AP Microeconomics Week of 1/22/18

Whew!  That was a lot of utils.  Now back to work.

Problem sets due Thursday for everyone, Test on Friday for everyone, Unit Graphs due Friday for everyone

I’ll be here Tue-Fri before school for extra help; also if you’re in my Hoya Block we’ll review in it this week.

MON-Notes on oligopoly

Practice problems on game theory

Get practice multiple choice questions

TUE-Quiz on oligopoly game theory

Get practice multiple choice questions

Work practice FRQs

WED-Quiz on oligopoly game theory

Work practice FRQs

THUR-1/2 class each

Problem sets are due for both classes, grade in class

FRI-Unit 3 test on the Firm

Unit Graphs due

Honors Economics Week of 1/22/18

MON-Brief review of unit 1 to get the wheels turning again

Start Unit 2 notes on demand

Worksheet on demand curves, shifts, and determinants

TUE-Unit #1 Test on Economic Fundamentals

Article with questions on prescription drug prices

WED-Quiz on demand

Notes on supply

Worksheet on supply curves, shifts, and determinants

THUR-Quiz on supply

Wheat market activity

Notes on equilibrium

Worksheet on equilibrium, shifts in equilibrium, shortage and surplus

FRI-Quiz on equilibrium

Bring books to class:  graphic organizer on the business organizations

Video clip on the start of Apple

AP Microeconomics Week of 1/15/18

TUE-Notes on oligopoly

Work game theory problems

Get Unit 3 problem sets; due next Tuesday, 1/23 for your class

WED-Notes on oligopoly

Work game theory problems

Get Unit 3 problem sets; due next Monday, 1/22 for your class

THUR-Quiz on oligopoly

Work practice multiple choice and free response questions

FRI-Quiz on oligopoly

Work practice multiple choice and free response questions

*Remember, problem sets due the first day you have class next week

*Test on unit #3 is Wednesday, January 24th

Honors Economics Week of 1/15/18

TUE-Unit 1 Problem Sets are due; remember, not taken late

Wrap up review for test

WED-Test #1 on Fundamental Economic Concepts

Article with questions on prescription drug prices

THUR-Notes on the circular flow model

Worksheet on the circular flow

FRI-Quiz on the circular flow model

Notes on demand

Worksheet on plotting demand curves and interpreting changes

Quiz Monday 1/22 on demand

Register for AP Exams

Register for your AP Exams here.  This must be done by February 28th.  All students should sign up for the AP Microeconomics Exam.  If you are willing, I also encourage you to sign up for the AP Macroeconomics exam.  About 1/2 of the AP Microeconomics students took the macro exam last year and we had 22 students pass that exam with 11 4s and a 5.  While we aren’t taking the full AP Macroeconomics class, you will learn a good bit of that material 2nd semester to prep for the EOC and if you take the AP Econ/Govt Hoya Block you will be more prepared.  If you’ll just do a little work on your own outside of class like watching the videos on my blog and working practice tests I’ll give you, you’ll be prepared.  While you should check your prospective colleges’ AP policies and it’s up to you whether you want to take both tests, taking and passing both exams can put you in a good position.

https://user.totalregistration.net/AP/111734

AP Microeconomics Week of 1/8/18

Note:  There is some sort of pilot testing going on at our school this week and at this point I’m not sure the extent to which our class will be affected by it.  We’ll be flexible and adjust as needed.

MON-Notes on monopolistic competition

Practice FRQs on monopolistic competition

TUE-Notes on monopolistic competition

Practice FRQs on monopolistic competition

WED-Quiz on monopolistic competition

Notes on oligopoly

Practice problems on oligopoly game theory

THUR-Quiz on monopolistic competition

Notes on oligopoly

Practice problems on oligopoly game theory

FRI-1/2 period each class, Complete oligopoly notes and graphs

Unit 3 problem sets will be given to both groups-due Thur or Fri next week depending on your class

Notes:  Remember no school on Monday January 15th

Oligopoly quiz on Tuesday/Wednesday next week depending on your class

Next week we will be doing practice multiple choice and FRQs to prepare for our Unit 3 Test;  As of now Unit Test #3 is scheduled for Monday January 22