AICP Exam Prep ACTUAL QUESTIONS
AND CORRECT ANSWERS
- Supply and Demand - CORRECT ANSWERS How housing,
land, and transportation markets respond to changes in price and
availability.
Elasticity - CORRECT ANSWERS Measures how sensitive
demand or supply is to changes in price (important for housing
affordability and transit ridership).
Externalities - CORRECT ANSWERS Positive or negative
side effects of development (e.g., pollution, congestion, or benefits
like increased property values near parks).
Public Goods - CORRECT ANSWERS Non-excludable and
non-rival resources like parks and street lighting, requiring collective
funding.
Cost-Benefit Analysis - CORRECT ANSWERS Used to
evaluate projects by comparing total expected costs to total expected
benefits.
Economies of Scale - CORRECT ANSWERS Cost advantages
as production or service delivery increases (e.g., regional water
systems).
,Agglomeration Economies - CORRECT ANSWERS Benefits
of clustering businesses and people in cities (innovation, shared
services).
Multiplier Effect - CORRECT ANSWERS How initial
spending (e.g., infrastructure investment) circulates and amplifies
economic activity.
Tragedy of the Commons - CORRECT ANSWERS Overuse of
shared resources without regulation (e.g., traffic congestion, open
space).
Ricardian Model & Comparative Advantage - CORRECT ANSWERS
Basis for trade and specialization between regions.
Hedonic Pricing - CORRECT ANSWERS Method to estimate
the value of environmental or location attributes (e.g., proximity to
transit).
Discount Rate & Present Value - CORRECT ANSWERS Used
in project evaluation to account for time value of money.
Fiscal Impact Analysis - CORRECT ANSWERS Estimates
how development affects public revenues and expenditures.
Rational Planning Model - CORRECT ANSWERS A logical,
step-by-step process emphasizing data-driven decisions, goal setting,
and evaluation of alternatives to achieve optimal outcomes.
, Incrementalism (Charles Lindblom) - CORRECT ANSWERS
Argues that planners make small, successive decisions
("muddling through") rather than following a single comprehensive
plan.
Advocacy Planning (Paul Davidoff) - CORRECT ANSWERS
Promotes representation of diverse community interests;
planners act as advocates for marginalized groups.
Communicative Planning (Patsy Healey, Judith Innes) - CORRECT
ANSWERS Focuses on collaboration, consensus-building, and
stakeholder dialogue in planning processes.
Equity Planning (Norman Krumholz) - CORRECT ANSWERS
Seeks to improve outcomes for disadvantaged groups through
public policy and resource allocation.
Transactive Planning (John Friedmann) - CORRECT ANSWERS
Emphasizes face-to-face interaction, mutual learning, and
collaboration between planners and citizens.
Radical Planning - CORRECT ANSWERS Challenges existing
power structures, encouraging grassroots, citizen-led planning outside
of traditional institutions.
AND CORRECT ANSWERS
- Supply and Demand - CORRECT ANSWERS How housing,
land, and transportation markets respond to changes in price and
availability.
Elasticity - CORRECT ANSWERS Measures how sensitive
demand or supply is to changes in price (important for housing
affordability and transit ridership).
Externalities - CORRECT ANSWERS Positive or negative
side effects of development (e.g., pollution, congestion, or benefits
like increased property values near parks).
Public Goods - CORRECT ANSWERS Non-excludable and
non-rival resources like parks and street lighting, requiring collective
funding.
Cost-Benefit Analysis - CORRECT ANSWERS Used to
evaluate projects by comparing total expected costs to total expected
benefits.
Economies of Scale - CORRECT ANSWERS Cost advantages
as production or service delivery increases (e.g., regional water
systems).
,Agglomeration Economies - CORRECT ANSWERS Benefits
of clustering businesses and people in cities (innovation, shared
services).
Multiplier Effect - CORRECT ANSWERS How initial
spending (e.g., infrastructure investment) circulates and amplifies
economic activity.
Tragedy of the Commons - CORRECT ANSWERS Overuse of
shared resources without regulation (e.g., traffic congestion, open
space).
Ricardian Model & Comparative Advantage - CORRECT ANSWERS
Basis for trade and specialization between regions.
Hedonic Pricing - CORRECT ANSWERS Method to estimate
the value of environmental or location attributes (e.g., proximity to
transit).
Discount Rate & Present Value - CORRECT ANSWERS Used
in project evaluation to account for time value of money.
Fiscal Impact Analysis - CORRECT ANSWERS Estimates
how development affects public revenues and expenditures.
Rational Planning Model - CORRECT ANSWERS A logical,
step-by-step process emphasizing data-driven decisions, goal setting,
and evaluation of alternatives to achieve optimal outcomes.
, Incrementalism (Charles Lindblom) - CORRECT ANSWERS
Argues that planners make small, successive decisions
("muddling through") rather than following a single comprehensive
plan.
Advocacy Planning (Paul Davidoff) - CORRECT ANSWERS
Promotes representation of diverse community interests;
planners act as advocates for marginalized groups.
Communicative Planning (Patsy Healey, Judith Innes) - CORRECT
ANSWERS Focuses on collaboration, consensus-building, and
stakeholder dialogue in planning processes.
Equity Planning (Norman Krumholz) - CORRECT ANSWERS
Seeks to improve outcomes for disadvantaged groups through
public policy and resource allocation.
Transactive Planning (John Friedmann) - CORRECT ANSWERS
Emphasizes face-to-face interaction, mutual learning, and
collaboration between planners and citizens.
Radical Planning - CORRECT ANSWERS Challenges existing
power structures, encouraging grassroots, citizen-led planning outside
of traditional institutions.
