Reading from Mankiw Principles of Economics: Ch. 23-24, 28
    Measurement of Economic Performance
     10  Days
    Power Points
    Supplemental Readings
    Video Resources
    The "nuts and bolts" performance of any national economy is usually measured in terms of Gross National Product, Gross Domestic Product, and the levels of inflation and unemployment. This unit will cover the components of gross income measures and the costs of inflation and unemployment. Students will learn to distinguish between nominal and real values, and how to use price indices to convert nominal magnitudes into real magnitudes. As the course moves from static descriptions to dynamic models, we will discuss the actual levels of inflation, unemployment, GNP and GDP in the United States. This unit will make up 8-12% of the AP Exam.

    1. Analyze the components of the Circular Flow Diagram and use it to explain how a single purchase can influence all the Macro flows in the country
    2. Describe the purpose of National Income Accounting
    3. Define Gross National Product, Gross Domestic Product, Net National Product, National Income, Personal Income, and Disposable Income
    4. Explain how we measure GNP and GDP
    5. Explain what Goods and Services are counted in GNP and GDP as Consumption, Investment, Government Expenditures, and Net Exports
    6. Compute GNP, GDP, NI, PI, and DI when given National Income Accounting data
    7. Compute GNP and GDP using both the Income and Expenditure methods
    8. Describe the purpose of a Price Index
    9. Explain how a Price Index is calculated
    10. Use a Price Index to calculate the rate of Inflation
    11. Distinguish between Demand-Pull inflation and Cost-Push Inflation
    12. Describe the difference between Nominal and Real GDP
    13. Explain how Unemploymet is measured in the United States
    14. Calculate Unemployment and Employment Rates from appropriate data
    15. Differentiate between Frictional, Cyclical, Structural and Seasonal Unemployment
    16. Describe the phases of the Business Cycle
    17. Identify the phases of the Business Cycle when given the appropriate economic data
     Supplemental Activities

    "To give anything less than your best is to sacrifice a gift"  Steve Prefontaine

    Click to:
    Report a Problem | Email the Teacher