@APJake1997 yes, but do you remember how it said to compare to a previous value? I’m pretty sure that when compared it was a increase in profit not a decrease
@APJake1997 You’re absolutely correct. I’m not saying that you’re wrong, but the required comparison tripped me up. I’m not quite sure what the right answer is.
I said profits decreased because the other firm also developed a dominant strategy. Not gonna worry about APs anymore… until the scores are released July! 
On the last question on Form O, it asked about calculating the price elasticity of demand. I put -1/2 as the answer. I know that you have to drop the negative to compare to 1, but do you guys think that they will take off points just because I didn’t drop the negative sign?
@antsyapplicant the Fed would target a lower federal funds rate in order to increase the money supply
@bobthebuilder13 I got 1 as the price elasticity of demand and put that it was unit elastic. I’m probably wrong though.
For the macro exam I put what everyone here says they put. For the micro exam, the first time, only breadbasket had a dominant strategy. After the $20 subsidy, both had a dominant strategy, which increased Quick’s profits but DECREASED breadbasket’s profits, and the question asked to find the change in breadbasket. Also I got relatively inelastic.
The profit went from $140 for Breadbasket to $95 for Breadbasket. Both adopted dominant low price strategies after subsidy.
@APJake1997 For the lump sum subsidy it would only affect ATC and AFC. Therefore the ATC would decrease in short run, causing the firm to make profits. But the price and quantity would not change in the short run because MR=MC is still unchanged. In the long run, however, more firms would enter the market for profit and supply would increase. Price would decrease and quantity would increase in the long run 
I am pretty sure I nailed that one.
I also got that Breadbasket’s profit decreased. However, I thought in part b) that when the two shops don’t cooperate, their profits were (120, 85) or something like that. Does anyone know what the answer for part b) was?
Do you think the AP test graders will take off points for an answer of -.5?
Let’s solve these
Got that too. I explained why they produce domestically though for #2d
Honestly, they gave us way to much time so I started drawing graphs everywhere because the 1995 test grade sheet tells graders to score out of 9 based on the “quality” of the answer. It also said that a score of 9 does NOT mean that the paper was perfect, so I’m guessing that they might give points out subjectively. Anyway, to be absolutely safe, I tried using all my extra time to make my answers perfect.
A score of 9? What do you mean? Maybe the correction sistem changed from 1995
I mean they scored that specific question out of 9
What was the answer to the last one when they asked about price elasticity of demand
1/2
I got 4/11 because I used arc elasticity of demand (supposedly it’s more accurate) instead of just the usual price elasticity of demand. Is this answer still correct?
@booyakah While I believe that arc elasticity is more accurate, they did specify “price elasticity.” Therefore, I would be surprised if you got credit. (Also note that AP graders simply get rubrics which tell them how to award points, with things such as “Award 1 point if price elasticity of demand was given as 1/2” written, rather than subjective scoring mechanisms)