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 Gerunds and define their forms and functions. See Grammar in Use section if necessary.

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

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

Language practice

X. Fill in the blanks with the correct forms of the verbs given in brackets

1. Demand … the quantity of a good buyers wish to purchase at each conceivable price (to be).

2. At higher prices it … increasingly lucrative to supply chocolate bars and there … a corresponding increase in the quantity of bars that … (to become, to be, to be supplied).

3. At any particular instant, the market price … not … (may, to be) the equilibrium price.

4. There … a shortage, what we … excess demand (to be, to call).

5. Then we … … how the price … to balance the quantities supplied and demanded (must, to examine, adjust).

XI. Make up questions to the following sentences

1. Demand is a full description of the quantity of chocolate the buyer would purchase at each and every price which might be charged.

2. Supply is the quantity of a good sellers wish to sell at each conceivable price.

3. Even when chocolate is free, only a finite amount will be wanted.

4. A campaign by dentists warning of the effect of chocolate on tooth decay, or a fall in household incomes, would change the «other things» relevant to the demand for chocolate.

5. Cheaper cocoa beans, or technical advances in packaging chocolate bars, would change the «other things» relevant to the supply of chocolate bars.

XII. Answer the following questions for general understanding

l. What is demand?

2. What is supply?

3. What is the distinction between demand and quality demanded?

4. What is the distinction between supply and quality supplied?

5. How could you explain the notion «other things equal»?

6. What is «equilibrium price»?

7. Why are markets called self – correcting?

XIII. Read each statement given and decide which of the following is not true

1. Supply is a concept of macroeconomics.

2. Economists differ from bookkeepers and tax gatherers because they include also opportunity costs.

3. The shape of the supply curve provides specialist with the information on elasticity of supply and the reflection of the shareholder.

4. The supply curve is a line on a diagram where the vertical axis measures price and the horizontal axis is quantity.

5. Bountiful crops are a cause of increase in supply.

6. Improvements in technology and changes in input prices and productivities are the main causes of the changes in elastic demand.

XIV. Translate from Russian into English

1. Спрос – это количество товара, которое покупатель желает и может купить по определенной цене.

2. Спрос показывает реакцию покупателей на определенную цену.

3. Предложение – это количество товара, которое продавец желает продать по данной цене.

4. Предложение характеризует реакцию продавцов на каждую данную цену.

5. Чем ниже цена на товар, тем выше количество спроса.

6. Чем выше цена на товар, тем выше количество предложения.

7. При равновесной цене количество спроса равно количеству предложения.

8. Рынки являются самокорректирующимися единицами, поскольку цена на любом из них стремится к равновесной.