Words and Expressions

alter v - изменять(ся); менять(ся); видоизменять

availability of credit - размер кредита, разрешенного к полу­чению

Incurve n - кривая (линия); дуга

demand curve - кривая спроса

falling demand - понижающийся спрос

fixed costs - фиксированные расходы

full demand - полноценный спрос

graph n - график, диаграмма

hinder v - задерживать, затруднять, мешать, препятство­вать

incur costs - нести издержки

insurance premium - страховые взносы

intersect v - пересекаться; перекрещиваться

irregular demand - неравномерный спрос

latent demand - скрытый спрос

marginal costs - предельно высокая себестоимость

market equilibrium - равновесие рынка

negative demand - отрицательный спрос

overfull demand - завышенный спрос

overhead costs - накладные расходы

profit margin - размер прибыли

property tax - налог на доход с недвижимого имущества

short run - короткий период времени

supply curve - кривая предложения

supply schedule - схема/график предложения

total costs - валовые/суммарные издержки

variable costs - переменные издержки на единицу про­дукции

11 Answer the questions.

1. What is market equilibrium?

2. What factors determine demand?

3. What measures should be taken in the case of falling demand?

4. What is the difference between full demand and over­full demand?

5. What brings about changes in the market equilibri­um?

6. What is the difference between fixed costs and vari­able costs?

7. What is the relation between the price and the supply?

12* Decide whether the statements are true or false.

1. Market equilibrium occurs when the supply and demand for a product are equal.

2. For most goods and services the demand will increase as price increases.

3. The demand for a product is influenced only by price.

4. The task of demarketing is to find ways to reduce the demand temporarily or permanently.

5. Supply is concerned with the firm's or producer's side of the market.

6. The quantity supplied of a good will increase as price falls.

7. The supply of goods is not affected by changes in the costs of production.

8. Variable costs are usually associated with interest pay­ments and state property taxes.

9. The sum of fixed and variable costs of production is called the total costs.

10. Price is the major factor influencing supply of a product.

13* Complete the following sentences by choosing the one correct variant (a, b or c) that best completes the sen­tence.

1. Price in a market is determined by ___________.

a. the number of consumers

b. supply and demand forces

с government policy

2. Market equilibrium occurs when_________.

a. demand is higher than supply

b. demand is lower than supply

с the supply and demand for a product are equal

3. The desired demand is the information showing the amount of the product that___________.

a. consumers are willing to buy at different prices

b. consumers actually buy at a particular price

с consumers are hesitating to buy

4. Demand is concerned with____________ .

a. producer's side of the market

b. the buying side of the market

c. production decisions

5. The average total costs of production are____________.

a. the sum of the average fixed costs and the marginal costs

b. the sum of the average variable costs and the marginal costs

c. the sum of the average fixed costs and the average variable costs

Unit 4. DISCUSSION

14* Read the following text and pick out the expressions in bold type to fill in the Useful Language box below, con­taining six sections for six language functions.

ROBOTICS AND TECHNOLOGICAL CHANGE

American Robot is one of the leading manufacturers of robots in the United States, founded by Romesh Wadhwani in the early 1980s. American Robot employed only 25 workers in 1982. Five years later the young company's work force had grown to 250, and in spite of severe competition its sales had increased from $3 million to $20 million.

Wadhwani, an immigrant born in Bombay, India, assessed the potential market for robotics in the US. At that time the competition was strong as there existed many robotic compa­nies, most of them Japanese firms. However, relatively few industrial contracts were available.

Meanwhile Wadhwani also recognized that American Robot would have to overcome two obstacles to succeed in this highly competitive market. First, the company had to secure enough capital because it needed to finance an aggressive

marketing campaign. Second, the company needed to finance the research and development of a product so that it could be distinguishable from and superior to existing robots on the market.

In the first place Wadhwani secured financial backing from corporate giants such as Ford and BMW (Bavarian Motor Works). The money invested in these firms is called venture capital. Large companies often take a risk in promis­ing new business in order to benefit directly from the techno­logical breakthroughs made by the new company as the investors expect a high return of the investment in return for - their money.

The next year the major attraction of American Robot a "second-phase" robotic system came into the market. Second-phased robotics is a computer-integrated manufacturing ■ (CIM) system, what is more it involves the total automation of a factory, including administrative tasks.

By the mid-1980s American Robot's CIM system, dubbed Merlin, has captured the imagination of major businesses worldwide. To begin with Merlins were the only American robots being marketed in Japan. In addition major European automotive producers, such as Volkswagen and BMW, were using Merlin to monitor different aspects of auto production. Finally Merlins were being used by 40 of the world's top 100 corporations.