IX. Make up your own dialogue using the following expressions:

median income to be rewarded

aggregate income to be headed by

in-kind transfer to be referred to

distribution of goods official poverty line ■>

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X. Paraphrase the sentences using Subjunctive II as in the model:

Model: A family is not in poverty if its income is more than one-half the median income. If a family were in poverty, its income wouldn't be more than one-half the median income. 1. Individuals choose not to make changes in order to in­crease their earnings, so lack of mobility occurs. 2. They don't earn a lot of money, so they are given a cash transfer. 3. There is sex discrimination, so men and women don't receive the same amount of money. 4. People have no wide range of possibilities to obtain a job, so many families live below the official poverty line.

XI. Complete the following sentences:

1. If all workers were rewarded handsomely ... . 2. The transfer would be in-kind if .... 3. If they had lower incomes ... . 4. A society would not make a decision to transfer income to the poor if ... . 5. If the distribution of income had been relatively stable ....

XII. Translate into English:

1. °.k6h He 6paKyBano Mo6inbHocri, aoxoah pi3Hwx oci6 He BiApi3Hannca 6. 2. 3k6m npii6yTKW po3nOfli/ifljinca cnpasfli piBHOMipHo, HH 6ye 6n TOfli ceHc roeopMTH npo jmycb rpyny npauJBHWKiB ak rany, mo >KnBe b 6tAHOCTi. 3. 5Ik6m sohm wham ra npauioBa/iM b 6int>uj po3BHHeHJM Kpai'ni, bohm Mann 6 Bmui npn6yTKk. 4. 3k6m He 6yno AncKpHMiHauji" 3a ct3ttk>, >whkm oTpHMysariM 6 Taxy caMy 3apo6iTHy njiaTy, hk i MonoBiKW, BMKOHyto'iM OAHaKOBy po6ory.

XIII. Communicative situations:

1. Should people who work in riskier jobs earn higher incomes? If your answer is yes, is the inequality necessarily «bad». Explain why.

2. What does it mean to say that a person is «(iving in po-vertyn? Explain your reasoning.

3. If luck were more important than education in determining one's income, would the distribution of income be «fa«r»? Discuss it.

4. What can you say about cash transfer in this country?

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Lesson 25

AGGREGATE SUPPLY

I. Read and memorize the following words, word-combinations and word-groups:

aggregate supply — cyKynHa npono3nu,iji

e.g. We begin our analysis of macroeconomic fluctuations by examining the determinants of potential real output and aggregate supply.

potential real output — noTeHuJMHe peanbHe bmpo6mmujbo

e.g. Potential real output is determined by the natural resources available to an economy, the technologies that it has developed or acquired, the amount of capital that it has accumulated, and the amount of labor it has available.

to fully employ labor resources — hobhofo Mipoto bhko-pucTOByBaTM TpyAOBi pecypcw

e.g. Labor resources are fully employed when there is an equilibrium in each labor market.

the real wage — peaiibHa 3apo6iTHa nnaTa

e.g. The real wage is the purchasing power of the wage payment, which is in turn the amount of money paid to workers per hour, week, or month of work.

equilibrium in the labor market — piaHoeara Ha pMHxy npauj

e.g. Equilibrium in the labor market, as in any market, occurs when the amount willingly supplied is equal to the amount willingly demanded.

unemployment — 6e3po6irrfi

e.g. Unemployment occurs, because the real wage does not quickly adjust to a new equilibrium when the demand or supply of labor changes.

true unemployment — peanbHe 6e3po6rrTH

e.g. Another part of unemployment is true unemploy­ment — there are no job openings corresponding to those who are without work.

cycle unemployment — u,HKnmHe 6e3po6iTTji

e.g. The lack of jobs is a consequence of the business cycle unemployment.

structural unemployment — CTpyKTypne 6e3po6iTTn

e.g. The lack of jobs may also correspond to a problem with skills and training (structural unemployment).

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piBHOBara Ha piimty npau,r Biflnoeiflwa eaKaHcin BMpo6hMHa noTy>KHicTb cnafl bhpo6hmhtb3 ujyKaTM po6ory

fractional unemployment — cppuKujMHe 6e3po6h-TH

e.g. Frictional unemployment results when individuals leaving one job (or looking for a first job) do not immediately find a new job, even though there are vacancies in the economy.

recession — en aft Bnpo6Hnu,TBa

e.g. A recession will be accompanied by declining prices and nominal wages, but the economy will eventually tend toward full employment and the production of potential real output.