11. Most often goods are classified as consumer goods (basic, durable, non-durable, luxury) and industrial goods. Give examples of each class.

12. Answer these questions:

1. Have you (your family) bought any durable goods lately?

2. Are you satisfied with them?

3. Have any goods you bought lately disappointed you? What goods have been the greatest disappointment to you? Describe the problem.

4. Does the purchase of durable (luxury) goods reflect the rising incomes of the population?

13. Translate into English.

1. Потребители покупают товары, чтобы удовлетворить свои потреб­ности.

2. Потребители — это домашние хозяйства.

3. Если цены растут, то потребление товаров, как правило, снижается.

4. Несмотря на рост цен, потребление товаров длительного пользова­ния выросло в последнее время.

5. Потребительские товары высокого качества пользуются спросом.

6. Сейчас многие семьи потребляют больше товаров высокого качества.

7. Личное потребление товаров и услуг возросло.

8. Производители потребительских товаров должны изучать рынок, вкусы и предпочтения потребителей.

9. Когда эта фабрика начала выпускать потребительские товары?

10. Что производит эта компания?

11. Компания увеличила производство легковых автомобилей.

12. Эта компания производит товары, которые пользуются большим спросом у населения.

13. Производство товаров длительного пользования значительно вы­росло в прошлом году.

14. Translate into Russian.

1. The money was distributed fairly.

2. The company distributed the annual profits to the employees.

3. Who distributes books to the students at your university?

4. How do people distribute their incomes?

5. This decision will affect his choice.

6. The goal of all producers is to affect buyer behavior.

7. Price rises affect sales.

8. How does competition affect the market?

9. Advertising affects consumers in different ways.

10. Low incomes affect people.

11. Changes in wealth can affect current consumption.

12. The pattern of consumption expenditure is affected by income.

13. Smith's ideas had an impact on the development of economics as a sci­ence.

14. Political events have an impact on the development of business and inter­national trade.

15. Reduction in bank credits has a big impact on the country's economy.

16. Economic growth has an impact on consumption, production and the current standards of living.

15. Comment on the statements.

1. Political events have an impact on the development of business and inter­national trade.

2. Economic growth has an impact on consumption, production and the current standards of living.

16. Find evidence in the text to support these statements.

1. There are different factors affecting consumer decisions and spending.

2. The amount of money spent on goods and services has a big impact on the level of economic activity.

Sum up the text and discuss with your partner the factors affecting your decisions as consumers (prices, your income, quality, availability of imported goods).

Eight Steps to Getting Your Finances in Order

Develop a family budget. Instead of budgeting what you’d like to spend, use receipts to create a budget for what you actually spent over the last six months. One advantage of this approach is that it factors in unexpected expenses, such as car repairs, illnesses, etc., as well as predictable costs such as rent.

Reduce your debt. Generally speaking, lenders look for a total debt load of no more than 36 percent of income. Since this figure includes your mortgage, which typically ranges between 25 percent and 28 percent of income, you need to get the rest of installment debt—car loans, student loans, revolving balances on credit cards—down to between 8 percent and 10 percent of your total income.

Get a handle on expenses. You probably know how much you spend on rent and utilities, but little expenses add up. Try writing down everything you spend for one month. You’ll probably see some great ways to save.

Increase your income. It may be necessary to take on a second, part-time job to get your income at a high-enough level to qualify for the home you want. Multiple unrelated cash flows are a vital part of creating the security against losing a job, or a company going out of business.

Save for a down payment. Although it’s possible to get a mortgage with only 5 percent down—or even less in some cases—you can usually get a better rate and a lower overall cost if you put down more. Shoot for saving a 20 percent down payment.

Create a house fund. Don’t just plan on saving whatever’s left toward a down payment. Instead decide on a certain amount a month you want to save, then put it away as you pay your monthly bills.

Keep your job. While you don’t need to be in the same job forever to qualify, having a job for less than two years may mean you have to pay a higher interest rate.

Establish a good credit history. Get a credit card and make payments by the due date. Do the same for all your other bills. Pay off the entire balance promptly.