To control an economy is the same as to intervene in it
Lesson 1 EXERCISES
Work at the words!
1. Read these words paying attention to the stress:
Ударение на втором слоге: economy, to economize, economist
Ударение на третьем слоге: economics, economic, economical, economically
2. Choose the correct word:
1. I am a student of (economy, economics) now.
2. At school I didn’t study the (economy, economics) of Great Britain.
3. I hope he’ll make a good (economist, economy).
4. There are many (economic, economical) problems in the world.
5. This car is very (economic, economical).
6. I try to spend money and time (economical, economically).
7. This car (economize, economizes) fuel.
3. Say the same using the words economic or economical:
1. a practical woman
2. problems of economics
3. a crisis in the field of economy
4. to be careful in the spending of money
5. reforms in the field of economy
6. a law (закон) regulating the sphere of economics
7. a plan of the industrial development of the country
8. a small car that doesn’t use too much fuel (топливо)
9. Geography that studies the location (размещение) of industries, markets, transport
4. Read the text, try to understand the meaning of the word economy:
| THE ECONOMY The words “the economy” are words we hear or read almost every day. For example, we may be told that “the world economy is in the doldrums”, or “the European economy is making little progress out of recession”, or “the Scottish economy has held up relatively well during the recent recession”. But what is meant by the economy? What is an economy? What happens in one? How does an economy work? The economy is a social mechanism which answers these questions. The economy means a system for the management, use and control of the money, goods and other resources of a country, communityorhousehold. | в упадке спад выстоять иметь в виду использование жители отдельного района домашнее хозяйство |
5. Insert the necessary word (economy, economics, economist, economic, to economize, economical):
1. The national … is the system of the management and use of resources of a country.
2. You can … if you compare the prices of goods before buying them.
3. Adam Smith was a famous … .
4. Inflation may cause a bad … state (положение) in a country.
5. If you’ve got a large family, it’s more … to travel by car than by train.
Check your Grammar!
6. Read and translate the following word combinations:
aircraft industry
cotton industry
automobile industry centre
high technology industry
coal industry
business centre
school year
command economy
market economy
land resources
price mechanism
price level
market mechanism
economy planning
7. Translate the following word combinations:
1. the production of machinery
2. branch of a foreign company
3. form of business
4. the eastern part of the country
5. a shortage of raw materials
6. the high cost of production
7. the number of workers
8. Insert the verbs to be or to have, translate into Russian:
1. The United States … a lot of mineral deposits such as coal, gold, silver, copper, lead and zinc.
2. Texas … rich in oil.
3. New York … a financial and advertising business centre.
4. Now the U.K. … a great variety of industries.
5. London … a big port on the River Thames, a major commercial, industrial centre.
6. Birmingham … an iron and steel centre.
7. Britain … very few natural resources.
9. Translate the sentences paying attention to there is/are, make the past and future forms of the sentences if possible:
1. There are plenty of coal mines there.
2. There is a lot of fruit raising area in California.
3. There are a lot of large and modern cities.
4. There is a new store in our street.
5. There is a sale in this supermarket.
6. The partnership is a firm where there are a few partners.
7. There are different forms of money.
8. There are consumers with different needs and opportunities.
10. Choose the correct way of forming the Degrees of Comparison:
low, natural, strong, few, deep, successful, many, profitable, poor, rich, wealthy, valuable, well, high, modern
11. Translate into Russian paying attention to the Degrees of Comparison:
- the richest farming region of America
- one of the world’s largest exporters
- New York City is the first biggest city of the States.
- The sole trader is the oldest form of business.
- One third of the farms is less than one hundred acres.
Lesson 2. EXERCISES
Work at the words!
1. Read the following word and word combinations:
1. industry
2. industrial
3. industries
4. industrialisation
5. to manufacture
6. manufacturing
7. manufacturer
8. manufactured goods
9. culture
10. agriculture
11. pastures
12. nature
13. natural
14. natural resources
15. century
16. in the past century
2. Pay attention to the meaning of the words:
to employ (servants, workers)
to be employed in (agriculture, industry)
1. More than two-thirds of the population is employed in agriculture.
2. Seven more workers were employed by the management.
3. How many workers are employed in American industry?
4. Do you happen to know how many workers are employed in Britain’s war industry?
5. How many people are employed in farming in Great Britain?
3. Choose the correct word employment, employee, unemployment, employer:
1. A lot of people (employ, are employed) in this industry.
2. (Employment, Unemployment) is unfortunately growing in the country.
3. Three young (employs, employees) took part in the experiment.
4. The (employ, employer) gave an interview to a journalist last week.
to export – export
to import – import
1. Great Britain imports raw materials from other countries.
2. Britain’s economy largely depends on imports.
3. France exports consumer goods to most European countries.
4. Electronic equipment is one of the main articles of British export.
5. What raw materials does Britain import from Canada?
6. Why does Britain’s economy depend so much on imports?
7. What goods does Britain export to other countries?
8. What are the main articles of Britain’s export?
Check your Grammar!
4. Insert the necessary form of the verbs to be or to have, translate into Russian:
1. Each region of the USA … characteristics of its own due to the differences in climate, landscape and geographical position.
2. The fields … mainly in the eastern part of the country.
3. Most of the farms … small.
4. The original basis of British industry … coal mining.
5. The United States … rich in natural resources
6. The leading US exports … industrial machinery, electronic equipment, textiles, grain, iron, coal, oil products and chemicals.
5. Translate the following word combinations:
1. machinery production
2. business form
3. motor car producer
4. the world demand
5. world trade
6. government policy
7. price tendency
8. steel output
9. iron mining
6. Translate the sentences paying attention to the verbs in the Indefinite Tense, make a question to each sentence:
1. In the past English industrial prosperity rested on a few important products, such as textiles, coal and heavy machinery.
2. Britain lives by manufacture and trade.
3. Britain will secure a leading position in the world as manufacturer, merchant and banker.
4. After World War I the world demand for the products of Britain’s traditional industries fell off.
5. The crisis of 1929 – 1933 brought about mass unemployment.
6. The unemployment reached its peak in 1932.
7. Britain produces and exports cotton and woollen goods.
8. The early factories grew up not far from the main mining areas.
9. Birmingham developed light engineering.
10. The nation will produce more than 100 million tons of iron a year.
11. Cattle breeding and pig raising make up an important branch of America’s agriculture.
12. Lancashire produced cotton goods and Yorkshire woollens.
7. Translate the sentences with the Modal Verbs:
1. In the UK every foreign firm must register its name and address.
2. Only public companies may offer shares to the public at the stock exchange.
3. Our company will not be able to sell these products.
4. Britain has to import timber, cotton, fruit and farm products.
5. They should cut down costs of production.
6. The Prime Minister is to pay an official visit to this country next month.
7. Every company can have some risks.
Conversation practice.
8. Add the necessary words or word combinations:
1. Great Britain is rich in … (oil, gold, copper, silver, iron ore, zinc, coal).
2. Great Britain has to import … (coal, agricultural products, electrical goods, chemicals, electronic equipment, oil, various metals, food products, cotton, timber, tobacco, wheat, fruit).
3. The main crops grown in Britain are … (cotton, wheat, barley, tobacco, oats).
9. Here are the answers. What were the questions?
1. No, it isn’t. Apart from coal and iron ore Great Britain has very few natural resources.
2. It imports raw materials for its industries such as oil and various metals. It also imports agricultural products.
3. Cattle, sheep and pigs.
4. Wheat, barley and oats.
5. Where the soil is less fertile.
Lesson 3. EXERCISES
Conversation practice.
1. Add the necessary words or word combinations:
1. When the world demand for the products of Britain’s main industries – textiles, coal and machinery – decreased, it began seeking compensation in new engineering products, such as … (cars; atomic power reactors; electrical goods; electronic equipment).
2. It is characteristic of Britain’s industry to produce … (semi-finished goods; cheap articles; raw materials; high quality expensive goods; articles requiring skilled labour; precision instruments; electronic equipment).
3. The main products of Britain’s industry are … (precision instruments; high quality consumer goods; electronic equipment, chemicals, textiles, ready-made clothing; manufactured goods; petrol).
4. A great number of new industries were added to the traditional ones such as … (the aircraft industry; the textile industry; the electronic industry; the shipbuilding industry; the automobile industry; mining; engineering).
2. Complete the questions and give the answers:
1. Does Great Britain live by agriculture or … ?
2. Does Great Britain export raw materials or … ?
3. Did the world demand for the products of Britain’s main industries after World War I increase or …?
4. Does Great Britain’s industry produce high quality goods or …?
5. Is Britain’s industry located in one area or …?
6. Is Britain still a mighty colonial power it used to be or …?
3. Find the wrong sentences, correct them:
1. Great Britain is an agricultural country.
2. Great Britain is rich in natural resources, such as oil, copper zinc and others.
3. Great Britain exports raw materials to other countries.
4. After World War I the world demand for the products of Britain’s main industries – textiles, coal and machinery – increased greatly.
5. As a result of the crisis of 1929 – 1933 Britain’s share in the world industrial output became greater.
6. The crisis of 1929 – 1933 brought about mass unemployment.
7. Very few people are employed in the mining and manufacturing industries in Great Britain.
8. Britain’s industry produces mostly very cheap low quality goods.
9. A shortage of raw materials makes it profitable for Great Britain to produce semi-finished goods and cheap articles.
10. No emphasis is made on the development of war industry.
11. Britain’s industry is concentrated in one area.
12. All Britain’s industries and services have been nationalised.
4. Give the answers:
1. What natural resources does Great Britain have?
2. What raw materials does Great Britain import?
3. What does Great Britain export?
4. What did the crisis of 1929 – 1933 bring about?
5. What is the characteristic feature of Britain’s industry?
6. Why is it unprofitable for Great Britain to produce semi-finished goods or cheap articles?
7. What are the main articles produced by British industry?
8. What are the main industrial centres of Great Britain?
9. What are Britain’s main industries?
10. What can you say about Britain’s agriculture?
Check your Grammar!
5. Translate the sentences with the Modal Verbs:
1. Private limited companies may not offer shares to the public.
2. The company must lower the price of its goods because they are not in large demand.
3. Not all partners in a firm must take an active part in management.
4. You will have to keep your word.
5. We were to complete this work last month.
6. The country had to decrease its imports.
6. Insert the necessary form of the verb:
1. After the crisis production and employment (to increase) as a result of some revival in world trade.
2. World War II (to bring about) a further weakening of Britain’s might.
3. Britain (to produce) high quality expensive goods.
4. Glasgow and Newcastle (to become) great centres of engineering and shipbuilding.
5. The production, processing and marketing of such oil products as petrol (to make up) one of America’s largest industries.
6. Great Britain mostly (to depend) on imports.
7. Translate the following word combinations paying attention to the Participles:
1. the leading US exports
2. a world’s leading motor car producer
3. person employed in agriculture
4. the leading imperial power
5. articles made of various kinds of synthetic (man-made) materials.
6. Wheat, barley, oats and potatoes are the most important crops grown.
7. The USA is a highly developed industrialised country.
8. Leeds is a centre of clothing industry producing woollen articles.
9. Britain mostly produces articles requiring skilled labour, such as precision instruments, electronic equipment, chemicals and high quality consumer goods.
8. Translate the sentences in the Continuous Tense:
1. Britain’s share in the world industrial output is still increasing.
2. The number of people out of work in the UK is rising.
3. Real exports are growing.
4. Industry will be spreading out.
5. The production was increasing very slowly.
6. The world demand for steel is steadily growing.
7. The service sector will be developing very fast.
8. The prices were steadily rising during the years of recession.
9. A great number of schools are training young people to become industrial leaders.
Lesson 4. EXERCISES
Work at the words!
1. Read the following words with the suffix –ed:
considered
developed
experienced
noted
dedicated
engaged
liked
industrialised
watered
raised
limited
called
forested
2. Pay attention to reading the words with the letter -g-:
region
engineering
engaged
vegetables
large
average
giant
management
3. Pay attention to the meaning of the words:
one third of …
two-fifths of …
three-fourths of …
1. Three-fifths of the land area of the continental United States is farmland. One fourth of it is harvested cropland and a half is pasture land.
2. About two-thirds of the Federal Government’s spending goes for military purposes.
3. About three-fourths of all taxes collected in the USA go to the Federal Government.
| require | a lot of very much | time work attention training |
1. This kind of work will require good management.
2. Studying a foreign language requires a lot of time. Does it also require a lot of work?
3. The workers required shorter hours.
4. Producing such articles requires skilled labour.
Check your Grammar!
4. Translate the following word combinations:
consumer goods industry
high quality consumer goods
labour productivity
transportation facilities
communication systems
branch factories
5. Translate paying attention to the Participles:
1. a company owned by shareholders
2. limited liability
3. labour-saving machines
4. factories far removed from the home plant
5. an oil refining centre
6. Speaking about the cities of the U.K. the first mention should be made of London, the capital of the U.K.
7. Among the crops grown on the farms are wheat, barley and oats.
8. Four fifths of the ore mined in the USA comes from the Great Lakes region.
9. Many branches of light industry are also developed, among them are the textile, food and wood-working industries.
6. Translate the following sentences in the Perfect Tense:
1. Heavy engineering and other traditional industries have experienced a certain decline.
2. In recent times regional industrial distinctions have become less clear.
3. After the World War II Britain has lost its colonies.
4. In the past few years the number of workers has increased only a few per cent, while the number of scientists and engineers in the plants has almost doubled.
5. Atomic energy has created a wide range of new industries.
6. Electronics has become a major industry.
7. Translate the sentences:
1. Farms tend to be bigger where the soil is less fertile.
2. Its agriculture provides only half the food it needs.
3. New industries are created as new discoveries are made in physics, chemistry and other sciences.
4. Industry is spreading out as there is a tendency to build factories far removed from the home plant and closer to natural resources and markets.
Conversation practice.
8. Give the answers using the text:
1. What are the chief natural resources of the USA?
2. How is the coal mined in the USA mainly used?
3. What are America’s main industries?
4. Where are most of the industrial enterprises located?
5. What are the leading exports of the USA?
6. What can you say about America’s agriculture?
9. Add the necessary words or word combinations:
1. The United States of America is rich in natural resources such as … (copper; uranium ore; oil; zinc; silver; gold; iron ore; nickel; platinum).
2. The USA is a highly industrialised country with various branches of heavy industry prevailing, namely … (mining; engineering; shipbuilding; the automobile industry; the metallurgical industry; the textile industry; the wood-working industry; the war industry).
3. A great deal of attention in American industry is devoted to … (raising labour productivity; improving the working conditions; the use of labour-saving machines; management training).
4. Mechanisation and automation lead to … (unemployment; decreasing labour productivity; raising the living standard of the working people; increasing the profits of big monopolies).
5. American industry is spreading out as there is a tendency to … (build factories and plants in big industrial centres; build factories and plants closer to markets and natural resources).
6. Good transportation facilities and rapid communications systems make it possible for America’s industry to … (introduce automation; build branch factories far removed from the home plants).
7. America’s leading exports are … (electrical machinery; gold; uranium ore; grain; oil products; textiles; ships; chemicals; iron; coal; copper).
Lesson 5. EXERCISES
Check your Grammar!
1. Translate the sentences paying attention to the Participles:
1. A branch of a foreign company is a part of a company incorporated outside Great Britain but acting under the law of the UK.
2. A corporation is owned by persons called stockholders.
3. The basic metals and minerals mined in the United States are zinc, copper and silver.
4. In the 19th century Britain dominated international trade, accounting for about one-third of world’s exports.
2. Translate the following sentences in the Passive Voice:
1. American industry is distributed unevenly.
2. The land is fertile and well watered.
3. California fruits, wines and vegetables will be shipped all over the States and to other parts of the world.
4. The U.K. is considered one of the world’s major manufacturing nations.
5. Now high technology industries are more developed than heavy engineering.
6. More and more new factories were built in the different parts of the country.
7. Three quarters of the United Kingdom’s land is dedicated to agriculture.
8. About two per cent of the population of the U.K. are engaged in agriculture.
9. Great emphasis was made on the development of the war industry.
10. Though a great deal of the ore has been used up, its resources have not been exhausted.
11. Throughout American industry great emphasis is being made on management training.
12. Most of the industrial enterprises are located in the eastern part of the country.
Work at the words!
3. Read the following words with the suffix –tion:
Corporation, nation, production, distinction, population, position, proportion, residential, imitation, financial, commercial, cultivation, traditional, precision, international, attention, mechanisation, automation, transportation, communication
4. Check the meaning of the following words, translate the definitions:
1. Business is the production, buying and selling of goods and services.
2. A business, company or firm is an organisation that sells goods and services.
3. Goods or products are something that is produced or manufactured and sold, often in large numbers.
4. Servicesare activities such as banking, tourism or entertainment that contribute to the economy.
5. When a private company is bought by the state and brought into the public sector, it is nationalised. A nationalised company is state-owned.
6. When the state returns a company to the private sector, it is privatised. This process is called privatisation.
Conversation practice.
5. Find the wrong sentences, correct them:
1. The USA has very few natural resources.
2. Four fifths of the iron ore comes from California.
3. Most of the coal mined in the USA is used by power plants to produce electricity.
4. The resources of iron ore and coal in the USA have been completely exhausted.
5. The USA has no heavy industry.
6. Automation helps to do away with unemployment in the USA.
7. Most of the industrial enterprises are located in the western part of the country.
8. The leading exports of the USA are fruit and vegetables.
6. Here are the answers. What were the questions?
1. The main natural resources of the USA are iron ore, coal and oil.
2. It produces more than 100 million tons of iron a year.
3. No, the resources of iron ore haven’t been exhausted.
4. Most of the iron ore is mined in the region of the Great Lakes.
5. Coal is used for the manufacture of plastics and other synthetics and also for the production of electricity.
6. Oil is mostly used for the production of petrol.
7. The main branches of America’s heavy industry are mining, engineering, the metallurgical, automobile, chemical and war industries.
8. Yes, light industry is highly developed too.
9. No, the number of workers hasn’t increased greatly in the past few years, but the number of scientists and engineers has almost doubled.
10. In the eastern part of the country.
11. Good transportation facilities.
12. Industrial and electrical machinery, oil products, chemicals, grain, coal and textiles.
Have a look at the text “ FOREIGN TRADE OF THE U.K. ” and…
Re-arrange these sections of the text into a logical order.
What does “the invisible trade” mean?
FOREIGN TRADE OF THE U.K.
But still foreign trade is vital to Britain’s livelihood. With a large population, small land area and few natural resources the country must depend on foreign trade to supply the raw materials for English factories and to provide a market for the sale of the thousands of types of manufactured goods produced by English industries.
The earnings from invisible trade come in the way of shipping charges, interest payments from foreign investments, interest payments from British enterprises abroad and tourist expenditure. The earnings from foreign tourist trade make this one of Britain’s important industries.
In the 19th century Britain dominated international trade, accounting for about one-third of world’s exports. Early in the 20th century its position changed. The volume of world’s exports increased but the percentage of British exports in world trade declined significantly.
The United Kingdom’s principal exports are vehicles, machinery, manufactured goods and textiles. Its main imports are foodstuffs and most of the raw materials for industry. Britain imports half the food it needs.
There is usually an unfavourable balance of trade, that is, imports exceed exports, but this is compensated for in part by the so-called invisible trade.
Lesson 6. EXERCISES
Check your Grammar!
1. Insert the necessary form of the verbs in Passive Voice, translate into Russian:
- For every person employed in agriculture eleven people (to employ) in mining, manufacturing and building.
- Most of the forests (to cut down).
- The greater part of land (to use) for cattle and sheep breeding, and pig raising.
- Great progress (to make) in the development of new industries, such as the aircraft, automobile, electronic industries and others.
- A great deal of attention in American industry (to devote) to research.
- Glasgow is a major port on the River Clyde where shipbuilding industry (to develope).
2. Translate the sentences with the construction it is/was … that/who …:
- It was the EEC established in 1957 that accounted for two-thirds of the world trade.
- It is at the age of 65 that people in many European countries can retire.
- It is the hired manager who should control the work of a company every day.
- It was the new system of management that gave the best results.
- It is the accountant who prepares the balance sheet.
- It was our director who spoke about the losses of the company.
3. Translate the sentences paying attention to the various functions of the Infinitives:
To control an economy is the same as to intervene in it.
- To stay in the tobacco market is not an easy task for Russian manufacturers.
- To repay loans in time is important.
- It is unprofitable for British industry to produce semi-finished goods or cheap articles.
- It is important for every manager to know labour efficiency in his enterprise.
- It is possible to increase demand for a good by advertising.
- There is a tendency to build factories far removed from the home plant.
- Measures to be taken by the government will not be popular.
- The dividends to be paid out this year will not be high.
- This is the problem to discuss.
- They set the target to achieve.
- The government had to introduce this law to curb unemployment.
- They had to increase the price by 1 per cent to maintain the profit.
- To economize on the electricity they have to reduce the working hours.
- In order to consume, we need income.
- In order to earn income, we have to work.
- The economic growth is too slow now to expect a rapid increase in demand and supply.
- To create jobs for young people the government allocated additional means.
- The wage in this enterprise is too low to attract qualified workers.
- We have to reduce the rates not to lose customers.
Lesson 7. EXERCISES
Check your Grammar!
1. Translate the sentences with the construction it is/was … that/who …:
1. It is the organization of labour at this enterprise that requires improvement first.
2. It is an accountant who is responsible for preparing all financial statements at the end of a fiscal year.
3. It is the use of money as a medium of exchange that distinguishes money from other assets.
4. It was the directors of the corporation who adopted the general plan of the plant reconstruction.
5. It is the law of supply and demand that influences the retail price.
2. Define the function of the Infinitive, translate the sentences into Russian:
1. The stockholders elect a director to operate the corporation.
2. Most of the coal mined in the USA is used by power plants to produce electricity.
3. To develop new information technologies is of prime importance for those countries that wish to lead in the world economy.
4. Firms and individuals spend their income to consume and to invest.
5. To produce goods and services firms use the following factors of production: worker’s time, talents and knowledge; equipment; land; buildings.
6. The government ought to take steps to reduce the unemployment rate.
7. To keep the economy as close as possible to full employment is an essential aim for the government to reach.
8. If a man’s assets are in doubt, then it may be difficult for him to obtain large sums of credit or even to pay for goods with a cheque.
3. Translate these sentences into Russian. Pay attention to the use of the Complex Objects:
- The company did not expect the exports to increase that year.
- Nobody expected the dollar to fall so dramatically that day.
- Economists suppose economic growth to lower unemployment rate rapidly.
- The sellers know these factors to influence consumer’s decision to buy.
- The manager expects the new equipment to increase productivity.
- Economists consider land to be the factor of production supplied by nature.
- When market conditions change, economists expect the price for land to vary.
Work at the words!
4. Read the following words with the suffix –tion:
- function - money functions
- transaction –business transactions
- additionally – in addition
- national – national currency – national economies
- institution – authorized institution
- circulation – general circulation – to come into circulation
- condition – favourable conditions
- inflation – inflation rate
5. Make up English-Russian pairs choosing the suitable equivalents:
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6. Read the text “Money and its functions” and …
- Give the wider sense of the word “money”.
- Pick out derivatives and word combinations with the word “value”, translate them into Russian.
- Find in the text all the terms which you would use speaking about money.
7. Translate the following text:
Counterfeiting
Counterfeiting of money is one of the oldest crimes in history. In the United States, for example, it was a serious problem in the past, when each bank issued its own currency. Therefore they adopted a national currency in 1863. But it did not solved the counterfeiting problem. The national currency, or the dollar, was soon counterfeited so widely, that it became necessary for the U.S. Government to take special measures. In 1865 the United States Secret Service was established to suppress counterfeiting. It curtailed counterfeiting to a certain extent but this crime still exists.
The U.S. dollar is now the most counterfeited currency in the world.
Modern photographic and printing devices, colour copiers, laser scanners have made the production of counterfeit money relatively easy.
A lot of special security features are usually used in making banknotes of every country.
In making American dollars, for example, the following security features are used:
q red and blue fibres, embedded in the paper
q the intaglio printing of some features and many others.
Besides, not long ago, a few more new security features were added to U.S. dollars. These features are as follows:
q invisible thread embedded in the paper
q microprinting, and others.
These new features appeared first in banknotes of certain denominations only. Other denominations will be gradually made with the same security features.
Lesson 8. EXERCISES
Check your Grammar!
Translate these sentences into Russian. Pay attention to the use of the Complex Subjects:
- This firm is said to receive high profits.
- This new business was believed to improve the situation in the market.
- New banking services seem to come into life rapidly.
- This practice has been found to require new capital investments.
- Labour, machinery, raw materials, energy are known to be inputs.
- Every producer is supposed to study the market carefully before starting the production of new goods.
- This company proved to contribute a lot to the pension fund.
- Markets are said to bring together buyers and sellers of goods and services.
- A subsidy is known to be money or other resources provided by the government to support a business activity or a person.
- Alcohol and tobacco are usually believed to be products with a very inelastic demand.
- Demand for imports is expected to rise when domestic income and output rise.
- The private sector is normally considered to use resources more productively than the government.
- The 16 percent of world population living in the industrial countries is said to receive nearly 80 percent of the world income.
- National currencies are considered to be as strong as the national economies which support them.
Say which construction (the Complex Object or the Complex Subject) is used in each of these sentences:
- The industrial circles expected Volvo to make a productivity gain.
- Volvo was expected to make a productivity gain.
- The Swedish kronon was expected to grow.
- The company expected the kronon to grow.
- They had been expecting the central bank to cut the lending rate.
- The lending rate was expected to be cut soon.
7. The prices were expected to move forward.
- The fruit prices appeared to move downward.
Conversation practice.
Give the answers:
- What is the role of money and what are its functions?
- What is the gold standard and why was it abandoned?
- What backs national currencies now?
- Why do you think valuable metal has been replaced by paper money?
- Who can issue paper notes?
- What are money orders and what function do they perform?
- In what case can one obtain large sums of credit and even pay for goods with a cheque?
- What is purchasing power and what does it depend on?
- How do we reckon the demand for money?
- What is the demand for money related to?
- What is inflation?
Translate the following sentences into English in written form. Look through the text first.
- Все ценности в экономической системе измеряются деньгами. Товары и услуги продаются за деньги, а эти деньги обмениваются на другие товары и услуги. Термин «деньги» в широком смысле этого слова означает все, что используется как средство обмена.
- Первоначально ценный металл служил как постоянное накопление стоимости. Даже сегодня американский доллар «поддерживается» запасом золота. Многие годы национальные валюты оценивались с точки зрения «золотого стандарта».
- В настоящее время бумажные деньги заменили металл, и сила национальных валют оценивается силой национальной экономики, которая поддерживает их. Бумажные деньги, выпущенные эмиссионными банками, являются законным платежным средством.
- Чеки и платежные поручения не являются государственным платежным средством. Они выполняют функцию представителя денежных средств и известны как кредитные обязательства.
- Стоимость денег определяется их стоимостью как средства обмена или их покупательной способностью. Эта покупательная способность зависит от соотношения спроса и предложения.
- Если в обращении слишком много денег, их стоимость снижается и падает их покупательная способность. Эта ситуация известна как инфляция.
Have a look at the text “ GLIMPSES OF HISTORY OF MONEY ” and…
…find the answers:
- What commodities served as money in the past?
- What are the requirements of a commodity to serve as money?
- Why did precious metals start to serve as money?
- What precious metal was used first to serve as money?
- Who were the first bankers?
- How did coins come into existence?
- What coins are called silver?
- What are coppers?