VII. Match these word combinations with their Russian equivalents.

continuing increase of prices	спираль заработной платы и цен
to provide a service	взимать процент
wage-price spiral	пенсионеры
public company	предоставлять услугу
to charge interest	регулируемая процентная ставка
retired people	получать прибыль с займов
adjustable interest rate	государственная компания
to make a profit on loans	постоянный рост цен

VIII. Paraphrase the sentences using the synonyms from the box instead of the underlined words.

are hurt by, pay, borrow, profit, price, increases, kinds

1. There are two basic types of inflation.

2. In the case of cost-push inflation, the cost of making a product or providing a service goes up.

3. Retired people living on pensions suffer from inflation because they have fixed incomes.

4. The Consumer Price Index (CPI) measures how the cost of goods and services changes.

5. Labor leaders often argue that workers need more money to keep up with the cost of living.

6. People who owe money are sometimes helped by inflation.

7. If you borrow 1000000 rubles at 10% interest, and inflation shoots up to 15%; the 5% loss for the bank is your 5% gain.

IX. Match the words and word combinations in column a with their antonyms in column b.

A	B
borrow v more adv high-income people gain n go up v increase v inflation n rise n	loss n lend v less adv drop n deflation n decrease v low-income people go down v

X. Insert the proper prepositions. Try to memorize some of these expressions.

in (2) of (2) with (1) by (1) from (1)

1. The most popular measure … inflation is the Consumer Price Index.

2. People who keep their money in savings accounts at a bank are hurt … inflation.

3. Employees of public companies are also hurt because their salaries do not keep up … inflation.

4. What good is to earn 5.5% interest … a bank if the inflation rate is 15%?

5. Banks are … the business of lending money.

6. Inflation raises the value … land and housing.

7. Renters do not own what is increasing … value.