1. commodity A when the government sets a limit on how much people can buy of something

2. standard B when there is not enough of something

3. socialist  C a strong metal made from iron

4. industry D something you can buy or sell

5. steel       E what is usual or typical

6. indicate  F all the businesses and companies involved in the production of heavy goods, food, technology, etc

7. warning system G describes someone/ something aiming to share wealth equally

8. shortage             H secretly storing and hiding goods for use later

9. rapidly   I work

10. ration   J show

11. solution К very quickly

12. hoard   L money paid regularly for work done

13. operate M. answer to a problem

14. wages   N system which tells us that something bad is going to happen

Now read the text again and decide whether these statements are true or false.

1. In a planned economy, the government decides how products are made.

2. In a planned economy, suppliers can sell anything that is in demand.

3. In a planned economy, a doctor should get paid more than a footballer.

4. Planned economies grow more slowly than market economies.

5. In a market economy, greater demand for something makes it cheaper.

6. Planned economies are difficult to run m countries with large populations.

The mixed economy

Most economists would say that there are no examples in the world today of a completely free market or a completely controlled economy. Instead, every country operates a mixture of the two systems. Even in the freest economies, like the USA, there is some government control; even in the strictest planned economy there is some free enterprise.

Economies mix government control and free market values in different ways. One way is to let privately owned businesses exist alongside state run industries. The economy becomes divided between the state sector and the private sector. The state sector often includes industries that the government thinks are important and need protection from the risks of the free market. These could include public transport, hospitals, schools and the postal service. The state sector can also include large industries that are important for a country's economic health, such as oil, steel or agriculture. These are sometimes called primary industries because they provide basic materials to manufacturers.

These state sector industries use money that the government collects in taxes. Often, they do not need to compete with other companies because no other company is allowed to provide the same product or service. However, many countries have recently started a process called deregulation.

Deregulation means freeing up the economy to allow private businesses to compete with state-run industries. The state sector should then run more efficiently in order to compete in the free market and because it now has less government protection.

Deregulation of services like telecommunications, transport and banking has happened in many countries in recent years. People have generally accepted these changes. However, generally the public is less happy when governments start talking about deregulation in education and health services. Many people feel that profit motivation will harm these services rather than improve them.

Another way in which economies today are mixed is that governments put limits on free enterprise. For example, governments may decide to ban trade in certain goods if they are dangerous. They may also create laws to make sure companies trade honestly or to prevent monopolies. If a company has a monopoly, normal market forces do not affect it. This is bad for consumers and the economy in general. Governments may also regulate methods of production. They do this to guarantee that products are safe for consumers and to protect the environment.

Many economists would argue that the mixed economy is the best system for consumers. This is because consumers have two ways to control the economy: by choosing to buy a company's goods or services and by choosing to give political parties their votes.

Переведите на английский язык:

1. В рыночной экономике спрос и предложение решают всё, а её полной противоположностью является плановая экономика.

2. При плановой экономике правительство решает, что производить, сколько и как производить, по какой цене продавать.

3. В мире нет совершенной экономической системы. Рыночная экономика имеет свои сильные стороны, но у неё есть и недостатки. В странах с плановой экономикой правительства могут создать условия для того, чтобы все могли купить товары первой необходимости.

4.    У стран с плановой экономикой есть проблемы с предложением, поскольку трудно вычислить, сколько нужно произвести и какой будет спрос. Люди вынуждены накапливать и хранить разные товары, повсеместным становится дефицит товаров.

5.    Во многих странах наряду с государственными отраслями существуют частные предприятия, которым для развития нужна защита от рыночной конкуренции.

6.    Уменьшение вмешательства государства в экономику ведёт к росту конкуренции и более свободному действию рыночных сил.

7.    Правительства могут ограничивать свободное предпринимательство, вводя запреты на торговлю различными товарами, предотвращая создание монополий, защищая потребителей и окружающую среду.

The mixed economy