Microeconomics and Macroeconomics Essential Free-Response Exam Tips
1. Take advantage of the 10-minute planning time to analyze the questions and plan your answers.
Circle, underline, star, etc. any key words or significant information. Spend approximately half the
time (25 minutes) on the long question (usually #1) and divide the remaining time between the
other two questions.
2. Don’t restate the question. The exam readers know the question, so don’t waste time restating it.
3. Use correct terminology. Learn and use the correct language of microeconomics and
macroeconomics. As much as possible, use the acronym instead of the term. For example, S
instead of supply, D instead or demand, TR instead of total revenue. Use the “” symbol instead of
saying increase/increasing and the “” symbol instead of saying decrease/decreasing. For example:
When ATC  above the intersection of MC and P, a firm is running a loss. Or, when P is below
AVC, firms  their production and shut down.
4. Use graphs wisely. Even if a graph is not required, it may be to your advantage to draw one
anyway, and remember that if the question requires you to draw a graph, you must do so to receive
full credit.
5. Label graphs clearly, correctly, fully, and neatly.
6. Use the same outline numbers or letters from the question in your answer, and answer them in the
same order. Make finding all of your answers as easy as possible for the scorer. Circle or
underline your answers.
7. Try to solve all of the parts of a question, and make sure your handwriting can be read.
8. If you are asked to explain your reasoning in a free-response question, you have to or else you
will not receive full credit, even if you answer the basic question correctly. If you aren’t asked to
explain, don’t. If you get the answer correct then try to explain your reasoning when it isn’t asked
for, you can actually end up getting it wrong by explaining incorrectly.
Most Common Microeconomics Acronyms
average fixed cost- AFC
average revenue- AR
average total cost- ATC
average variable cost- AVC
change- 
consumer price index- CPI
consumer surplus- CS
deadweight loss- DWL
decrease- 
demand- D
elasticity- E
equilibrium price- Pe
equilibrium quantity- Qe
equilibrium wage- We
fixed costs- FC
gross domestic product- GDP
income elasticity of demand- YED
increase- 
long-run average total cost- LRATC
market equilibrium- Me
marginal benefit- MB
marginal cost- MC
marginal social benefit- MSB
marginal social cost- MSC
marginal private benefit- MPB
marginal private cost- MPC
marginal product of labor- MPL
marginal revenue- MR
marginal revenue cost- MRC
marginal revenue product of labor- MRPL
percentage- %
price- P
price elasticity of demand- PED
price elasticity of supply- PES
producer surplus- PS
variable costs- VC
quantity- Q
quantity demanded- Qd
quantity supplied- Qs
supply- S
total costs- TC
total revenue- TR
wage- W
Real AP Microeconomics Free-Response Question and Student Answers, Which Earned a Perfect Score
(from the 2015 AP Microeconomics exam)