The AP Macroeconomics 2012 FRQ score guideline is based on two criteria, one of which is the monetary policy of the issuing nation. It has been found that the main reason behind the growth of inflation and unemployment is the rate of increase of currency rates. The monetary policy should be flexible enough to be able to control the increase in currency rates, keeping in view the general economic state of the economy. In the absence of such flexibility, the monetary policy cannot work effectively.
The other major parameter that is considered to be the main determinant for the AP Macroeconomics 2012 FRQ score guideline is the economic state of the manufacturing industry. As per the guidelines, it is the state of the manufacturing industry that determines the rate at which inflation and unemployment affect the whole economy. A major part of the country's export revenue comes from the manufacturing industry.
The AP Macroeconomic report also considers the fiscal policy of the country in terms of its ability to provide monetary assistance when it is needed. In case of fiscal policy being too lax, it has been found that the economic state of the manufacturing industry will suffer a loss. If the fiscal policy is too tight, the unemployment rate will rise and the inflation rate will rise.
When it comes to the banking sector of the economy, the AP Macro report says that a lender who is too lax in its lending policies will result in inflation. In addition, if the lender is too strict, inflation will take over. In such a scenario, a lender who is too lax is considered to be an unsafe lender and he or she should be forced to take stringent measures in order to avoid being put out of business.
There are certain types of loans that the AP Macro Economic report categorizes as safe. They include loans made by banks, such as money market accounts, CDs, and certificates of deposits, and home equity lines of credit. Similarly, there are certain types of loans that are not safe, including home loans and student loans.
Finally, there are certain types of government-supported programs, such as the Export-Import Bank of America, that are not considered as safe loans. The Export-Import Bank of America helps in providing loans to countries that are in need of the same kinds of products that the United States exports. Such loans do not have to be repaid if there is a loss in the export sector of the country, but they must be repaid even in case of an accident.