Ex 2. Fill in the gap with the words and expressions from the text
1. Economics is the … science that studies the ……, ……, and …… of goods and services.
2. The central economic problem for society is how …… between people’s …… and the scarcity of resources.
3. Economists aim …… of human behavior and …… the facts.
4. The economic agents are …… in a complex web of transactions involving ……
5. In terms of the ……, the utilization of resources is …… when every opportunity …… to make some individuals better off.
6. Rational decisions reflect choices that …… from given resources or …… with the minimum efforts or cost.
Ex 3. Find in the text the English equivalents for the following:
распределение и потребление товаров и услуг; потребляться в момент производства; в исключительных обстоятельствах; подчеркивать роль общества; погасить конфликт; конкурирующие притязания на использование чего-либо; их взаимодействие составляет экономическую деятельность; представлять домашние хозяйства; факторы производства; выпуск продукции; быть ограниченным дефицитом ресурсов; использование ресурсов; учитывая эти ограничения…; достичь желаемых результатов.
Ex 4. Match the term with the appropriate explanation.
Economy, inputs, Economics, output, goods, factors of production, services
1. Resources used in the production process, such as labour and raw or semifinished materials.
2. Physical commodities produced by people for other people’s consumption.
3. The social science that studies the production, distribution and consumption of goods and services.
4. An organized system for the production, distribution and consumption of wealth (the needs of society).
5. The total value of all goods produced and services performed by a producer, an industry or a country.
6. A class of economic goods that consists of the work of human in the form of physical labour, knowledge, advice and other activities.
7. The basic things that are used by man, especially land, labour, capital and enterprise, to produce economic goods.
Ex 5. Answer the questions and do the assignments.
1. What are the three basic problems of daily living every group of people must solve?
2. What does Economics study? Why is it placed within the social sciences?
3. What is meant by goods? By services?
4. Comment on the central economic problem for society.
5. In what way is Economics connected with human behaviour?
6. Whose interaction constitutes economic activity? Expand on their roles.
7. What is the volume of commodities to be produced and purchased limited by? What consequences does this fact involve?
8. What stands for the notion “rational decisions”?
Ex 6. Find in the text the words and phrases that mean:
1. the part of human behavior which relates to the production, exchange and use of goods and services;
2. the production of goods and services for the satisfaction of the needs and wants of consumers;
3. a regulator, supervisor and promoter of economic activities;
4. three types of economic agents;
5. factors influencing economic decision-making.
microeconomics, macroeconomics, household budget, positive economics, normative economics
Text B
What are Microeconomics and Macroeconomics?
Economists talk about microeconomics and macroeconomics. Microeconomics deals with people, like you and me, and private businesses. It looks at the economic decisions people make every day. It examines how families manage their household budgets. Microeconomics also deals with companies - small or large – and how they run their business. Macroeconomics, on the other hand, looks at the economy of a country - and of the whole world. Any economist will tell you, though, that microeconomics and macroeconomics are closely related. All of our daily microeconomic decisions have an effect on the wider world around us.
Another way to look at the science of economics is to ask, ‘what’s it good for?’ Economists don’t all agree on the answer to this question. Some practice positive economics. They study economic data and try to explain the behavior of the economy. They also try to guess economic changes before they happen. Others practice normative economics. They suggest how to improve the economy. Positive economists say, ‘this is how it is’. Normative economists say, ‘we should … ’
So what do economists do? Mainly, they do three things: collect data, create economic models and formulate theories. Data collection can include facts and figures about almost anything, from birth rates to coffee production. Economic models show relationships between these different data. For example, the relationship between the money people earn and unemployment. From this information, economists try to make theories which explain why the economy works the way it does.
Vocabulary List
1. microeconomics – микроэкономика
2. macroeconomics – макроэкономика
3. household budget – бюджет домохозяйства
4. torunabusiness – управлять компанией, вести бизнес
5. data – данные
sg. datum
Notes
1. positiveeconomics – позитивная экономика
2. normativeeconomics – нормативная экономика
3. datacollection – сбор данных
4. birth rate – уровень рождаемости
Ex 1.Suggest the Russian equivalents:
to manage household budgets; to be closely related’ to have an effect on the wider world around us; to practice positive economics; to guess economic changes; to create economic models; why the economy works the way it does.