century.Today,alargenumberoffamiliesinGreatBritainbuyfurniture,householdgoodsandcarsby

installments.IntheU.S.,thefigureismuchhigherthaninGreatBritain,andpeopletherespendover10

percentoftheirincomeontheinstallmentplan.

Thepriceofanarticleboughtoninstallmentsisalwayshigherthanthepricethatwouldbepaidbycash.

Thereisachargeforinterest.Thebuyerpaysonequarteroronethirdofthepriceasadownpaymentwhen

thegoodsaredeliveredtohim.Hethenmakesregularpayments,weeklyormonthly,untilthefullpriceispaid

up.Thelegalownershipofthegoodsremainswiththeselleruntilthefinalpaymenthasbeenmade.

Installmentbuyinghasadvantagesanddisadvantages.Itcanhelpcoupleswithsmallincomestofurnish

theirhomesandstarthousekeeping.Itincreasesthedemandforgoods,andinthiswayhelpsbusinessand

employment.Thereis,however,thedangerthatwhenbusinessisbad,installmentbuyingmayendsuddenly,

makingbusinessmuchworse.Thismayresultinagreatincreaseinunemployment.Ifthepeopleonthe

installmentplanlosetheirjobs,theywillprobablynotbeabletomaketheirpayments.Ifgreatnumbersof

peoplearenotabletopaytheirinstallmentdebtsthereisapossibilitythatbusinessmencannotcollecttheir

debtsandwillthereforelosemoney.Ifbusinessmenlosemoneyorfailtomakeasatisfactoryprofit,it

becomesmorelikelytohaveadepression.Thisiswhy,insomecountries,thegovernmentcontrolsthe

installmentplanbyfixingtheamountofthedownpaymentandinstallmentstodiscouragepeoplefrom

buyingmorethantheycanpayforontheinstallmentplan.

B.Morethan10percentAmericanfamiliesbuythingsoninstallments.

C.AmericansdependmoreoninstallmentthanBritishpeopledo.

D.Americansspen