Comments

1. decision-making units — самостійна господарча одиниця, яка наділена правом приймати рішення

2. aggregate demand — сукупний попит

3. external in the United States — за межами Сполучених Штатів

VOCABULARY EXERCISES

I. Form the new words using the following suffixes:

- ment: invest, govern, state, establish, fulfil, agree, advance, pay, develop;

- ive: product, object, act, mass, effect, compare;

- ion, - tion: dominate, populate, substitute, promote, corporate, coordinate, collect, include, combine, discuss, decide, produce, restrict, consume;

- er, or: buy, produce, consume, invest, sell, supply, manufacture, manage, export;

- ship: proprietor, partner, leader, friend, member, owner.

II. Give the Ukrainian equivalents for the following words and

word-combinations. Use them in the sentences of your own:

decision-making units; branch of economics; foreign markets; output of the country; as a whole; the sum of expenditures; aggregate demand; recession; GNP; boom; consumer sector; productive sector; foreign sector; public sector; investment sector; proprietorship; partnership; corporation; to produce output; to be responsible for; factors of production; farm products.

III. Match the antonyms:

to export, income, to import, demand, to consume, to produce, supply, private sector, expenditure, buyer, external, microeconomics, public sector, macroeconomics, boom, unlike, native, internal, different, recession, similar, like, foreign, seller.

IV. Match each term in Column A with its definition in Column B:

Column A Column B

1. microeconomics	a. A fall in business activity lasting more than a few months, causing stagnation in a country’s output.
2. macroeconomics	b. Quantity of goods and services produced or provided by a business organization or economy.
3. aggregate demand	c. The study of the individual parts of the economy, with special attention to the market process and how it works.
4. recession	d. The total demand for goods and services in the economy.
5. boom	e. The peak of the business cycle; the economy is expanding and aggregate demand is rising quickly.
6. output	f. The study of the economy as a whole.
7. public sector	g. Regular fluctuations in the level of economic activity in an economy.
8. investment	h. Part of the economy that is owned and controlled by the state, namely central government, local government, and government enterprises.
9. business cycle	i. Using money to purchase real capital (equipment, new tools, industrial buildings) to be used in the production of goods and services.

V. Define which of the following items best completes the statement:

1. An increase in aggregate demand would most likely mean an increase in spending by

a. business.

b. government.

c. consumers.

d. all of them.

2. The macroeconomy is:

a. government’s share of the nation’s output.

b. goods and services that are produced but not sold in the marketplace.

c. everything produced in the nation.

d. none of these.

3. Rising unemployment, together with a reduction in business

spending and production, is characteristic of

a. boom.

b. contraction.

c. recession.

d. expansion.

VI. Fill in the blanks below with the most appropriate terms from

the list:

aggregate demand; recession; decision-making; economics; corporations; consumers; items; services; proprietorships; the public sector; producers; goods; booms; the private sector.

1. Microeconomics is the branch of ________ that deals with ________ and other behaviour by these individual units. 2. The sum of expenditures of these sectors is known as _________ . 3. When aggregate demand or spending falls over a period of one to two years, the economy tends to go into ________ , while a rise in aggregate demand tends to lead to ___________ in the economy. 4. The business, or investment sector is made up of __________ , partnerships, and ___________ . 5. In a free market economy, __________ is responsible for allocating most of the resources within the economy. 6. Most _________ and __________ provided by __________ in any economy are allocated on the basis of need rather than on ability to pay. 7. Foreign sector includes all _________ and _______ external in the United States. 8. The United States imports a large number of different _________ from foreign countries.