Wednesday, August 08, 2007
- 72% were able to describe a benefit and a risk of leaving a full-time job to further one�s education
- 60% identified factors that lead to an increase in the national debt
- 52% know that commercial banks use deposits from checking accounts to make loans to other customers, while most of the rest believe the deposit simply sits in a bank vault until depositors withdraw the funds.
- 36% identified the federal government�s primary revenue source
- 36% could do a marginal benefit = marginal cost calculation
- 33% explained the effect of an increase in real interest rates on consumers� borrowing
- 32% understood that a country with more education, all other things equal, will grow faster
- 11% analyzed how a change in the unemployment rate affects income, spending and production
Here's the full report.
UPDATE: Greg Mankiw notes that those 2/3 who took the course did not do significantly better on NAEP than the third that did not. He thinks it has to do with the non-AP classes. My experience meeting AP teachers at economics challenges here at SCSU would support him regarding the AP teachers being of very high quality. I only watched a sample of one in a non-AP course: my son. Not exactly a representative sample.