Grammar practice

VI. Find in the text some sentences in the Active Voice, copy them into your exercise books, give simple grammar analysis of these sentences.

VII. Find in the text sentences with the Participles and define their forms and functions. See Grammar in Use section if necessary.

VIII. Find in the text sentences with the Conditionals, copy them into your exercise books and define their types.

IX. Find in the text sentences with model verbs, copy them into your exercise books and define their meanings.

X. Find in the text sentences with the Gerunds and define their forms and functions. See Grammar in Use section if necessary.

LANGUAGE PRACTICE

XI. Match the terms and their definitions

1. Curve	a) a thing that takes the place or function of another
2. Substitute	b) the quantity of a commodity or service wanted at a specified price and time
3. Supply	c) offer the same or better goods and services as another company offers and therefore compete for the same customer
4. Demand	d) a line defined by an equation so that the coordinates of its points are functions of a single independent variable or parameter
5. Compete	e) the quantities of goods or services offered for sale at a particular time or at one price

XII. Join the halves of the sentences below

1. A perfectly competitive industry	a) that his own actions have no effect on market price.
2. There must be a large number of firms in the industry	b) to be considered as perfectly competitive industry.
3. The firms must be making a reasonably standard product	c) must have many buyers and many sellers.
4. In a perfectly competitive market everyone believes	d) so that each is trivial relative to the industry as a whole.
5. In a perfectly competitive industry all firms must be making essentially the same product,	e) free entry and exit.
6. One more crucial characteristic of a perfectly competitive industry	f) for which they must all charge the same price.

XIII. Make up questions to the following sentences

1. Both buyers and sellers believe their own actions affect the market price.

2. Firms in a perfectly competitive industry face a flat demand curve, that being the crucial feature.

3. Even if the car industry had a large number of firms it would not be sensible to view it as a competitive industry.

4. Buyers know that products of different firms in a competitive industry really are identical.

XIV. Answer the following questions

1. What could a perfectly competitive industry be described as?

2. How does a demand curve look like in a perfectly competitive industry?

3. How many industry characteristics must an economist have in mind?

4. What kind of firms must there be in a competitive industry?

5. What kind of product must the firms produce to be viewed as competitive ones in an industry?

6. What is the third important characteristic of a perfectly competitive industry?

7. Why is it impossible to restrict supply collectively?

8. What is the fourth crucial characteristic of perfect competition?