AP Macroeconomics Study Guide: Key Concepts for the 2026 Exam
AP Macroeconomics covers national income, price determination, financial markets, and international economics. Here’s how to prepare for the 2026 exam.
GDP and Economic Indicators
Understand how GDP is measured, the difference between real and nominal GDP, and key indicators like unemployment rate, inflation rate, and the Consumer Price Index. Know the business cycle phases and their characteristics.
Aggregate Supply and Demand
The AD-AS model is central to the exam. Know what shifts each curve, how to identify equilibrium, and how to analyze inflationary and recessionary gaps. Understand both short-run and long-run adjustment.
Fiscal and Monetary Policy
Master how government spending, taxation, and Federal Reserve actions affect the economy. Know the money multiplier, the tools of monetary policy (open market operations, reserve requirements, discount rate), and the Phillips curve.
International Economics
Understand balance of payments, exchange rates, and how trade policies affect domestic and foreign economies. Know the relationship between the loanable funds market and the foreign exchange market.
