AP Macroeconomics Final Exam
2025/2026 Exam Questions and Correct
Answers | New Update
Goods - 🧠 ANSWER ✔✔Items purchased to satisfy needs and wants
Services - 🧠 ANSWER ✔✔Activities performed by people, firms or government
agencies to satisfy economic wants.
Capital - 🧠 ANSWER ✔✔An economic and political system in which a country's
trade and industry are controlled by private owners for profit, rather than by the
state.
Entrepreneurship - 🧠 ANSWER ✔✔the process of starting, organizing, managing,
and assuming the responsibility for a business
Scarcity - 🧠 ANSWER ✔✔A situation in which unlimited wants exceed the limited
resources available to fulfill those wants
,Economics - 🧠 ANSWER ✔✔The study of choices leading to the best possible use
of scarce resources in order to best satisfy the unlimited human needs and wants.
Rationing Device - 🧠 ANSWER ✔✔A means for deciding who gets what portion
of the available resources and goods.
Opportunity Cost - 🧠 ANSWER ✔✔Cost of the next best alternative use of money,
time, or resources when one choice is made rather than another
Marginal Benefits - 🧠 ANSWER ✔✔Additional benefits; the benefits connected
with consuming an additional unit of a good or undertaking one more unit of an
activity.
Marginal Costs - 🧠 ANSWER ✔✔the change in total cost due to a one-unit
increasing the variable input; the cost of using more of a factor of production.
Efficiency - 🧠 ANSWER ✔✔A measure of how well or how productively
resources are used to achieve a goal
Exchange - 🧠 ANSWER ✔✔The act of obtaining a desired object from someone
by offering something in return.
, 3
Positive Economics - 🧠 ANSWER ✔✔An approach to economics that seeks to
understand behavior and the operation of systems without making judgments. It
describes what exists and how it works.
Normative Economics - 🧠 ANSWER ✔✔The body of economics based on
normative statements, which involve beliefs, or value judgements about what
ought to be. Normative statements cannot be true or false; they can only be
assessed relative to beliefs and value judgements. Normative economics forms the
basis of economic policies.
Microeconomics - 🧠 ANSWER ✔✔The study of how households and firms make
choices, how they interact in markets, and how the government attempts to
influence their choices.
Macroeconomics - 🧠 ANSWER ✔✔Deals with the economy as a whole.
Macroeconomics focuses on the determinants of total national income, deals with
aggregates such as aggregate consumption and investment, and looks at the overall
level of prices instead of individual prices.
Production Possibilities Curve - 🧠 ANSWER ✔✔All possible combination of the
maximum amounts of two goods that can be produced by an economy, given fixed
and unchanging resources and technology.
COPYRIGHT©PROFFKERRYMARTIN 2025/2026. YEAR PUBLISHED 2025. COMPANY REGISTRATION NUMBER: 619652435. TERMS OF USE.
PRIVACY STATEMENT. ALL RIGHTS RESERVED
2025/2026 Exam Questions and Correct
Answers | New Update
Goods - 🧠 ANSWER ✔✔Items purchased to satisfy needs and wants
Services - 🧠 ANSWER ✔✔Activities performed by people, firms or government
agencies to satisfy economic wants.
Capital - 🧠 ANSWER ✔✔An economic and political system in which a country's
trade and industry are controlled by private owners for profit, rather than by the
state.
Entrepreneurship - 🧠 ANSWER ✔✔the process of starting, organizing, managing,
and assuming the responsibility for a business
Scarcity - 🧠 ANSWER ✔✔A situation in which unlimited wants exceed the limited
resources available to fulfill those wants
,Economics - 🧠 ANSWER ✔✔The study of choices leading to the best possible use
of scarce resources in order to best satisfy the unlimited human needs and wants.
Rationing Device - 🧠 ANSWER ✔✔A means for deciding who gets what portion
of the available resources and goods.
Opportunity Cost - 🧠 ANSWER ✔✔Cost of the next best alternative use of money,
time, or resources when one choice is made rather than another
Marginal Benefits - 🧠 ANSWER ✔✔Additional benefits; the benefits connected
with consuming an additional unit of a good or undertaking one more unit of an
activity.
Marginal Costs - 🧠 ANSWER ✔✔the change in total cost due to a one-unit
increasing the variable input; the cost of using more of a factor of production.
Efficiency - 🧠 ANSWER ✔✔A measure of how well or how productively
resources are used to achieve a goal
Exchange - 🧠 ANSWER ✔✔The act of obtaining a desired object from someone
by offering something in return.
, 3
Positive Economics - 🧠 ANSWER ✔✔An approach to economics that seeks to
understand behavior and the operation of systems without making judgments. It
describes what exists and how it works.
Normative Economics - 🧠 ANSWER ✔✔The body of economics based on
normative statements, which involve beliefs, or value judgements about what
ought to be. Normative statements cannot be true or false; they can only be
assessed relative to beliefs and value judgements. Normative economics forms the
basis of economic policies.
Microeconomics - 🧠 ANSWER ✔✔The study of how households and firms make
choices, how they interact in markets, and how the government attempts to
influence their choices.
Macroeconomics - 🧠 ANSWER ✔✔Deals with the economy as a whole.
Macroeconomics focuses on the determinants of total national income, deals with
aggregates such as aggregate consumption and investment, and looks at the overall
level of prices instead of individual prices.
Production Possibilities Curve - 🧠 ANSWER ✔✔All possible combination of the
maximum amounts of two goods that can be produced by an economy, given fixed
and unchanging resources and technology.
COPYRIGHT©PROFFKERRYMARTIN 2025/2026. YEAR PUBLISHED 2025. COMPANY REGISTRATION NUMBER: 619652435. TERMS OF USE.
PRIVACY STATEMENT. ALL RIGHTS RESERVED
