Ex.21.Read the text more thoroughly and answer the questions.

Ex.20. Read the text and decide whether the statements are true or false. Correct the false statements.

1. In a command economy, companies carry out the implemented plan on the basis of the laws of supply and demand.

2. The concept of a command economy was first put into practice in the US during the WWII mobilization.

3. In a command economy, the government allocates resources in line with the central plan, usually for a five-year period.

4. The goal of the central plan is to provide only basic goods and does not have any other priorities.

5. Such important industries as finance and utilities are the state monopoly.

6. Being overregulated, the command type of economic systems doesn’t have any advantages.

7. As in a free-market economy, prices set by the central plan measure and control demand.

8. A shadow economy can appear as a result of peoples’ inability to satisfy their needs.

9. In a command economy, businesses are free to introduce innovations to improve their production and selling practice.

10. Cuba, South Korea, China, Iraq and Russia are the most frequently used examples of command economies.

1. Who makes economic decisions in a command economy?

2. When was the concept of a command economy developed?

3. What are the goal and duration of central economic plans?

4. Is unemployment characteristic of the command economic system?

5. How is economic activity regulated in a command economy?

6. Is the rapid mobilization of economic resources inherent in this type a positive or negative factor?

7. What aspects is the command economy most strong in?

8. Why is rationing necessary in this type of economy?

9. Give examples of command economies.

TEXT C: THE GOOD (AND BAD) MODEL GUIDE