1. Look through paragraphs 1, 2, 6, 7, 8, write out 6 phrasal verbs and give their Russian equivalents. Define the type each of the phrasal verbs belongs to:

I – do not require object after them

II – the particle is used after the verb only

III – the particle may be used either after the verb or after the object

IV – the particle is followed by a certain preposition

2. Find in the text 9 noun chains.

3. Find in paragraphs 1, 3, 7, 8 words and word combinations with the meaning «чтобы», «чтобы не», «так, чтобы / таким образом, чтобы».

D. Say whether the following statements are true, false or there is no information in the text on the subject.

1. The “cost” of money depends on the prime rate.

2. When money is “cheap” it can be safely invested in real estate operations.

3. By increasing the prime rate level the Federal Reserve Bank stimulates investments in construction.

4. The Federal government insures every bank against robbery or bankruptcy.

E. Say which paragraphs contain the information on:

1. A means of making profit for:

   1. the Federal government

   2. a bank

   3. individuals

2. How money is looked upon by the banks.

3. How banks influence different spheres of economy.

4. How the Federal government promotes the development of different branches of economy.

6. Say which of the following sentences presents most accurately the main idea of the text.

1. Lending money out – that’s what all banks (including the Federal Reserve Bank) are busy doing.

2. Banks’ activity is very important both to the population and economy.

3. Different ways in which banks make their main profit.

TEXT 3 TAXES

1. Read and translate the text.

1 There are three levels of government in the United States: federal, state and city, therefore there are three types of taxes: federal, state and local taxes. There are several kinds of taxes. The main ones are income taxes. People must pay a certain percentage of their salaries to the federal government. Companies pay company/ corporation income tax on their profits.

2 The income tax in America is progressive: the more you earn, the more you pay. All taxpayers benefit from a system of tax allowances under which part of their income is tax-free. Privileges lowering the amount of tax are: moving expenses, having a big family, medical costs, the number of dependents, the expense of caring for small children, other such expenditures.

3 All citizens have to fill out a tax form once a year and send it to the Internal Revenue Service Bureau. Every employer is obliged to regularly take some money for taxes out of a worker’s paycheck. If at the end of the year the sum taken out is more than that arrived at on the tax form, the government returns the difference to the worker. However, if the sum is less than on the tax form, the worker must pay the difference.

4 There is also state tax added on to the price of the majority of purchases made in this state, including food (sales tax).

5 Then there is the social security tax and a tax on property and realty, which are paid for the city. Besides all these, there are even other small local requisitions: licenses for cars, licenses for businesses, the inheritance tax, and excise duties on such items as petrol, tobacco, and alcoholic drinks. The cities use this money for education, police, fire departments, public works (street repairs, water, and sanitation) and municipal buildings.

6 The main expenditure tax is the VAT (value added tax). Businesses pay it on most goods and services they buy.

7 The collection of income taxes is constantly adjusted in order to stimulate investments in those areas of the economy where it is needed at the moment most of all. So if things are going bad in housing construction, certain tax deductions are introduced for persons (establishments) building their own houses. If little money is invested in production capacities, some law is introduced stimulating it. In addition, the federal government has other ways of using the income tax laws as a means to regulate the state of the economy.

B. Give Russian equivalents to the following words and phrases:

income tax, social security tax, value added tax (VAT), majority of purchases, property, realty, revenue, expenses, expenditures, medical costs, excise duties, tax allowances, tax deductions, to be tax free, to lower the amount of tax, to charge VAT on such items as …, to constantly adjust, inheritance, dependents.

C. Find in the text English equivalents to the following phrases:

налогоплательщики, расходы на переезд, уход за ребёнком, заполнять налоговую ведомость /декларацию, обязан раз в году, возвращать разницу, из его зарплаты, сбор налогов, средство регулирования, состояние экономики, вводить закон о налогах, строительство жилых домов, если дела идут плохо.

D. Say whether the following statements are true, false or there is no information in the text on the subject.

1. Sales tax is paid for the Federal government.

2. Companies pay VAT on most goods and services they sell.

3. Social security tax is one of the local taxes.

4. Expenses on moving to another town in connection with the change of a job give a person the right for tax allowances.

E. Say which paragraph contains the information on:

1. The system of income tax collection.

2. Taxes as a means of regulating investments.

3. Income tax deductions.

TEXT 4 ENTREPRENEURSHIP