Section D

Directions: Read the passage carefully. Then answer the questions and complete the statements in the fewest possible words.

 “Teach a parrot to say ‘demand and supply’ and you’ll have an economist”. While this is an obvious exaggeration, it does contain a little of truth. It is the interaction of the economic forces of supply and demand that determines the price paid for a given product or service. In turn, the price determines how that product or service will be distributed and used in a free enterprise economy.

Demand is more than just the desire for some product or service. It also involves the ability to buy. True demand exists when people not only desire goods or services, but also have the buying power to purchase them and are willing to part with some of that buying in order to purchase them.

Common sense tells us that if the price of a product, such as a sports car, were $5000, more people would be willing to buy it than if the price were $25000. This is the law of demand: as price goes up, the quantity demanded goes down. The reverse is also true: if price goes down, the quantity demanded goes up.

Supply results from the desire and effort of producers to satisfy consumer demands. Just as consumers’ desires and willingness to spend affect demand, so producers’ and suppliers’ willingness and ability to provide goods and services affect supply. The law of supply says: as price goes up, the quantity supplied goes up, and as price goes down, the quantity supplied goes down. Obviously, as the price of a product goes down, producers become less willing to supply the product and the quantity supplied decreases.

85. ______ is an important factor that determines the distribution and use of a product in a free

enterprise economy. 

86. According to the passage, if prices go up, people would ____________.

87. What are the two factors that affect supply?

88. What is the author’s implication of the beginning sentence?

第II卷

I. Translation:

   

1. Who can guarantee that he will keep his word?

2. He is no longer the same person as he used to be.

3.The plane arrived in / reached London an hour behind schedule because of / thanks to / as a result of the bad weather.

4.It never occurred to me that it was so difficult to find a person (who was ) qualified for this job.

5. What he has done is not for the benefits of himself, but for the good of the residents here.

   

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