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Unit 8 supply and demand (2). Text 3-6 (pages 79 - 81) the text “behind the supply curve” has 7 paragraphs

Text 3-6 (pages 79 - 81)

1. The text “Behind the Supply Curve” has 7 paragraphs.

Choose the correct heading for each paragraph (1-7) from the list of headings (i – xiii) below.

1. Agriculture development.
2. Modern facilities influence on output expansion.
3. Take account of ‘other things’ components.
4. The quantity supplied dependence on price rise.
5. Technological advances effect.
6. Less wastage in mass production.
7. How to persuade producers to supply more output.
8. Safety regulations and the supply curve shift.
9. The chocolate business profitability.
10. Technological advances meaning.
11. The impact of government regulations.
12. The supply and demand curve shifts.
13. The supply curve shift and input prices.

1. Complete each sentence with the correct ending, A-H, below.

1. Many useful things can be produced, but they are not produced
2. The quantity supplied of a good or service is the amount that producers plan to sell
3. The quantity supplied is not necessarily the same amount
4. A supply curve shows the relationship between the quantity supplied of a good and its price
5. The amount of any particular good or service that producers plan to sell

A. without a definite plan.

B. during a given time period at a particular price.

C. when all other influences on producers’ planned sales remain the same.

D. illustrated by the law of supply.

E. depends on many factors.

F. unless it is profitable to do so.

G. influences the demand.

H. as the quantity actually sold.

1. Do the following statements agree with the information given in the text “Behind the Supply Curve”?

Use TRUE if the statement agrees with the information

FALSE if the statement contradicts the information

NOT GIVEN if there is no information on this

1. When the price of a good rises, other things remaining the same, producers are willing to increase production.
2. Supply reflects a decision about which technologically feasible items to produce.
3. Sometimes the quantity supplied is greater than the quantity demanded.
4. To study the relationship between the price of a good and the quantity supplied we keep all other influences on the quantity supplied the same.
5. The production cost cutting may result from government pollution control regulations.

1. Complete the text using the list of words from the box below

The Number of Suppliers

The larger the number of firms that produce a good, _____1_____ is the supply of the good. And as firms _____2_____ an industry, the supply in that industry increases. As firms _____3_____ an industry, the supply in that industry _____4_____. For example, over the past two years, there has been _____5_____ increase in the number of firms that design and manage Web sites. As a result of this increase, _____6_____ of internet and World Wide Web services has increased _____7_____.

5. Which of the following best describes the main idea of the text “Behind the Supply Curve”?

Choose the correct letter A, B, C or D.

A. Technological advances influence.

B. A change in supply.

C. The impact of output costs.

D. Adverse for producers.