AP MACROECONOMICS UNIT 5
Friedrich Hayek and Public Choice

4/9 - 4/11
 
UNIT 5 CONTENT MAP
Unit 5 Notes Unit 5 Powerpoint
mONEY
mONEY SUPPLY
CIRCULATION
DEMAND DEPOSIT
MEDIUM OF EXCHANGE
MEASURE OF VALUE
STORE OF VALUE
COMMODITY MONEY
FIAT MONEY
M1, M2, M3
BANK RESERVES
RESERVE RATIO
BALANCE SHEET		 BANK RUN
FDIC
DISCOUNT WINDOW
EXCESS RESERVES
MONEY MULTIPLIER
MONEY VELOCITY
FEDERAL RESERVE SYSTEM
COMMERCIAL BANK
INVESTMENT BANK
FEDERAL FUNDS RATE
DISCOUNT RATE
OPEN MARKET OPERATIONS
INTEREST RATE		 MONEY MARKET
MONEY DEMAND
MONEY SUPPLY
LIQUIDITY PREFERENCE
FEDERAL DEFICIT
STRUCTURAL DEBT
BALANCED BUDGET
CROWDING OUT
MONETARISM
DISCRETIONARY POLICY
TIGHT MONEY
EASY MONEY
DISCOUNT WINDOW
WEEK 11
4/8 - 4/12
LESSON IN CLASS HOMEWORK
Lesson 1
  • Review Unit 4 Test
 Read:   Krugman, Module 30, pp. 296 –305: Problems of Fiscal Policy
Brief Biography of Friedrich Hayek

Watch:  ACDC Economics Macro: Crowding Out; Macro: Monetary Intro
Lesson 2
  • Criticisms of Keynesianism
    • Expansionary Bias
    • Structural Debt
    • Crowding Out
  • Friedrich Hayek
 QuickNotes: Unit 5 Powerpoint Lesson 1: Criticisms of Keynesianism

Read:  Module 23, pp. 231-235 Money; Module 25, pp. 243 – 251: Banks and the Money Multiplier

Watch: ACDC Economics Macro: Money Multiplier

Lesson 3
half-day

ESSENTIAL QUESTION: What is the Money Multiplier?

  • The Money Multiplier
  • Equation of Exchange
    • MV = PQ

Assignment: Money Multiplier worksheet

Read: Module 28, pp. 268 – 275:  Money Market

Watch:  ACDC Economics Macro: Money Market and Tools of the Federal Reserve
WEEK 14
4/15 - 4/19
LESSON IN CLASS HOMEWORK
Lesson 4

ESSENTIAL QUESTION: How does the Money Market function?

  • Money Market
  • Monetary Policy
  • Tools of the Fed

 

QuickNotes: Unit 5 Powerpoint Lesson 2: Banks and the Money Market

Read: Krugman, Module 26, pp. 253 – 260 The Federal Reserve

Watch:  ACDC Economics Macro: Monetary Graph Practice
Lesson 5

Econ U$A #9: The Federal Reserve System

Be prepared to answer a short quiz based on the questions listed during the video, and discuss the answers.

*Makeup - follow these directions to make up the assignment:
  1. Watch Economics U$A #9 The Federal Reserve System
  2. Take the 10 question online quiz.
  3. After completing the quiz, email the results to yourself and then forward your score torcrawford@nova.edu
 Bring:  Pencil for Video Quiz.

Read: Module 27, pp. 262-266:  Tools of the Fed

Watch:  ACDC Economics Macro: Monetary Policy

 

 
Lesson 6

ESSENTIAL QUESTION: What is the difference between Monetary and Fiscalv policy?

 

 

Module 31, pp. 307-313 Monetary Policy

Watch:  ACDC Economics Macro: Money Multiplier Practice
Lesson 7

 

 Read: Module 33, pp. 321-329:  Real vs Nominal

Watch:  ACDC Economics Macro: Real and Nominal Interest Rate
Lesson 8

ESSENTIAL QUESTION: How did Keynes differ from Classical Theory? 

  • Keynesian Criticisms of Classical Theory
    • Savings is NOT Investment
    • The Ratchet Effect
    • The Keynesian Consumption Multiplier
    • Keynesian Equilibrium

 


 
WEEK 15
4/22 - 4/24
LESSON IN CLASS HOMEWORK
Lesson 9

Review for UNIT 5 ASSESSMENT

Review Unit 1, 2, 3, 4, and 5: Use online Textbook site chapter notes and  practice section quizzes for:
Lesson 10

 

 Bring:  Pencil for Unit 5 test

This test will consist of 40 multiple choice questions, and one brief essay from the material and concepts in Unit 1, 2, 3, 4, and 5.

You will be expected to draw a graph for the essay portion of this test, and write an essay in brief format.

The test will be counted out of 50 points. 
Lesson 11
  • Review Unit 5 Test
 

ESSENTIAL QUESTION: What are the Constitutional Responsibilities of the President?

Watch: West Wing The State Dinner

Be prepared to answer a short quiz based on the questions listed during the video, and discuss the answers.

Video Questions:

  • What are the 5 Constitutional responsibilities the President has in the US government?
  • What are the FOUR major events taking place during the day at the Bartlett White House?
  • What Constitutional role is the President playing at each of the events taking place?
  • At one point, the President’s staff is introduced to Carl Everett.  Mr. Everett is described as a ‘serious campaign fundraiser for the party’.  What other informal political role does this imply for the President?
  • What THREE specific Constitutional powers does the President threaten to use if the Truckers’ Union and Management don’t settle the strike by midnight?
  • Does the Bartlett Administration uses a Circular, Pyramidal, or Ad Hoc management structure? What is your evidence (be specific)?

Answers must be In Your Own Words.

This MUST be turned in BEFORE the end of class today--any assignment turned in late will be penalized 1 point.

Read:  Magelby 25th,  Chapter 12 pp. 337-346 President Succession

Makeup: Watch Democracy in American #7: The Modern Presidency and answer the assigned questions on the worksheet in complete sentences.

Answers must be In Your Own Words.

This MUST be turned in within 24 hours of your absence--any assignment turned in late will receive 50%.
EXAM REVIEW SHEET