English Reader. Мишустина В.Д. - 62 стр.

     An explosion in the prices; Eastern Europe; when a profligate government
finances spending; eventually this way; the Price is Right; the rising prices;
hyperinflation especially hurts; in order to keep; loses control of the economy.

      Текст
      During a period of hyperinflation in Argentina, when the currency was losing its
value at an alarming rate, it was joked that it was cheaper to take a taxi than a bus,
because the bus ride was paid for at the beginning, when the currency was still worth
something, while the taxi ride was paid for at the end after the currency had already
lost its value.
      Hyperinflation - an explosion in the prices of goods and services - is a symptom
of an economy out of control. Hyperinflation has occurred all over the world: in
Germany between the two world wars, and later in Israel and parts of Eastern Europe.
But it has been most widespread in the debtor countries of Latin America, where it
resulted primarily from government polices that attempt to satisfy political demands
without increasing taxes.
      When a profligate government finances spending by increased borrowing or by
simply printing new currency, prices will increase as the new money enters the
economy. The expectation of runaway inflation fuels the fires of hyperinflation.
Eventually this wage and price spiral takes on a life of its own: prices rise, leading to
a demand for increased wages, which results in higher prices. Imagine buying goods
for a home or factory, or playing The Price is Right, when prices are increasing 200
percent a month. Even winning the lottery may not help when a million or a billion
pesos does not even pay for next month's rent.
      The rising prices of hyperinflation end up hurting the poor people most, because
their day-to-day expenses consume a significantly higher percentage of their total
income. Some countries try to index salaries and social service payments to keep up
with inflation, but salaries and social service payments rarely keep pace with the
increase in prices, and purchasing power declines. Even though a salary is increased
in nominal terms, what the salary will actually buy - its real value - can decline.
Hyperinflation especially hurts those on fixed incomes such as old-age pensions:
when there are no cost-of-living increases, stipends can become virtually worthless.
      Governments often refuse to take tough economic actions against hyperinflation
because they fear the political consequences of austerity plans or increased taxes. In
order to keep large state work forces satisfied, for example, governments borrow
money to keep from closing inefficient state industries or reduce bloated
bureaucracies. Overburdened governments usually keep the economy going by
increasing the money supply even further, issuing more government debt or printing
even more money. As the government loses control of the economy, the vicious circle
of wage and price increases spins out of control.

     17.1.5 Переведите текст на русский язык, используя словарь.
     17.1.6 Скажите, соответствуют ли тексту следующие утверждения:

62