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

market economy — ринкова економіка

price — ціна

e.g. Market economies are directed by prices,

to ration — розподіляти, нормувати, видавати e.g. Prices ration scarce resources, and they motivate production.

to attend an auction — відвідувати аукціон e.g. Did you ever attend an auction? rationing effect — раціональний вплив e.g. What you saw at the auction was the rationing effect of prices.

items for sale — товари для продажу

bidder — покупець на аукціоні

e.g. The person leading the sale (the «auctioneer») offered individual items for sale to the highest bidder.

to drive out of the market — витіснити з ринку e.g. Price decreases drive producers out of the market,

the level of output — рівень виробництва e.g. Prices encourage producers to increase or decrease their level of output.

the law of demand — закон попиту

quantity of goods and services — кількість товарів і по­слуг

e.g. The law of demand describes the relationship between prices and the quantity of goods and services that would be purchased at each price.

elasticity — еластичність; гнучкість

e.g. Elasticity describes how much a change in price affects the quantity demanded.

supply — постачання; пропозиція

e.g. Supply refers to the number of items that sellers will offer for sale at different prices at a particular time and place.

II. Give English equivalents of the following:

покупець на аукціоні еластичність

вартість продукції взаємодія

закон пропозиції закон попиту

кількість товарів і послуг

зміни в постачанні

відвідувати аукціон

ринкова ціна

товари для продажу

рівень виробництва

III. Fill in the blanks with appropriate words:

1. Economists often use and explain their work. prices

2. Market economics are directed by ... . sellers

... is a consumer's willingness and ability to buy a product or service at demand

a particular time and place. tables and graphs

3. More people can afford to buy ... at a lower price than at a higher price. consumers

4. Buyers and sellers have full knowledge of the prices price quoted in market

the ... . auction

5. In some countries prices are set by the ... . an item

6. Many ... who are concerned about the environment are refusing to buy

soft drinks in plastics.

7. ... will offer more of a product at a higher price and less at a lower price.