- •What is economics
- •I. Practise the pronunciation of the following words:
- •II. Before you read answer the following questions:
- •III. Read and memorize the following words and word — combinations:
- •IV. Text a What is economics
- •V. Give the English equivalents of the following:
- •VI. Fill in the gaps with the words and expressions from the text a:
- •VII. Find pairs of words as they occur in the text:
- •VIII. Answer the following questions:
- •IX. Match the following terms with their definitions:
- •X. Increase your vocabulary:
- •XI. Fill in the gaps with the words from the list:
- •XIII. Text b a. Match the equivalents before reading:
- •The basic economic problem
- •XIV. Find in the text:
- •XVIII. Work in groups and discuss what is the key sentence of economics.
- •IV. Fill in the blanks with articles wherever necessary:
- •V. Put the Infinitives in brackets in the Past Continuous:
- •VI. Refer the following sentences to the past:
- •VII. Each of these sentences has a mistake in it. Write the correct sentences:
X. Increase your vocabulary:
to enjoy (syn. — to have as advantage )
to enjoy the benefits
to enjoy a high standard of living
XI. Fill in the gaps with the words from the list:
economics, economy, economists, economic, economical, to economize.
1. Our firm will try ___________________________, to get the most from what we have.
2. The development of modern __________________ began in the 17th century.
3. ___________systems may be classified as traditional, command, or market systems.
4. Since that time____________________have developed methods for studying and explaining how individuals, business and nations use their available resources.
Macroeconomics is the study of the _______________________________ as a whole.
We are establishing a new technology.
Translate into English:
1.Інфляція — це процес підвищення середнього рівня цін в економіці.
2. Безробіття є макроекономічною проблемою.
З.У процесі економічного розвитку країн відбуваються періодичні спади та підйоми .
4. Економічна теорія досліджує поведінку людей у процесі виробництва, обміну, розподілу і споживання матеріальних благ та послуг в умовах обмежених ресурсів.
5. Під економічним зростанням розуміють збільшення реального доходу, випуску продукції в економіці.
6. Макроекономіка — розділ економічної теорії, який вивчає економіку як єдине ціле.
7.Нормативна макроекономіка — це сукупність уявлень стосовно того, якою має стати економіка.
8. Позитивна макроекономіка прагне дати відповіді на запитання, якою є макроекономічна ситуація в країні.
9. Ми не зможемо виготовляти все, що ми бажаємо, оскільки ресурси завжди обмежені. Чинники виробництва — це земля, трудові ресурси та основний капітал.
10.Модель кругообігу описує потік ресурсів ,товарів і послуг, якими обмінюються домогосподарства і фірми.
XIII. Text b a. Match the equivalents before reading:
to earn a living a. виживання
required subject b. ресурси які не відновлюються
simplified c. заробляти на життя
don't mind d. не заперечувати
to put in a financial bind e. приймати рішення
by some stroke of magic f. приділяти час
7. human nature being g. необхідна дисципліна
8. to make decisions h. бути змушеним
9. to draw attention to i. задовольняти бажання
10. nonrenewable resources j. споживати більше ніж
11. exhausted k. усвідомлювати
12. to satisfy wants l. переключити увагу
13. to be forced m. виснажений
14.to be aware n. помахом чарівної палички
15.to devote time o. людська натура
16.wants and needs p. виробнича потужність
17. to consume beyond... q. бути готовим та спроможним
18.productive capacity r. спрощений
19.to be willing and able s. бажання та потреби
20.survival t. привести до фінансової скрути
The basic economic problem
In studying economics, as in any other activity, we like to have some reason for exerting effort. We attend the theatre or go to a ball game because it is enjoyable. We attend school to learn or to make it possible to have a job and earn a living. But why study economics? There may be a few people who would be willing to study economics purely for the enjoyment it brings. For most, however, learning economics is not 100 percent entertainment. We study economics because it is a required subject. Why is it required? The answer can be simplified to a single word- scarcity. Scarcity exists because people's wants and needs are greater than the resources to satisfy them. Thus people must choose how best to use their available resources to satisfy the greatest number of wants and needs.
Economists classify as needs those goods or services that are necessary for survival. Food, clothing, and shelter are basic needs. Wants are those goods or services that people consume beyond what is needed for survival. When people as the consumers are willing and able to buy desired things they present demand at the market.
At first you may find this hard to believe that human wants are unlimited. But if you spend a few minutes to write a list of the goods or services that you wouldn't mind having, you will understand that their purchase would put a millionaire in a financial bind. Of course, there is some level of income or standard of living where one would be completely satisfied. Suppose by some stroke of magic that you got all the items on your list. Would you be completely satisfied? Probably not — human nature being is what, we always seem to be a little dissatisfied with what we have. A new compact car may satisfy for a time, but we give admiring glances to a Mercedes or a BMW.
It is less difficult to understand the scarcity of resources at our disposal. In recent years, attention has been drawn to the day when our nonrenewable natural resources, especially fuels, will be exhausted. It is important to realize that most resources, including land, labour, and capital are limited. The result is a limit to a country's productive capacity.
Since human wants are greater than the resources to satisfy these wants, people must decide what they will produce and what they forgo. In other words, we are forced to make economic decisions. We must make these decisions (or, if you wish, economize) from the time we are aware of the world around us. But not all economic decisions involve money. The best example of a non- monetary economic decision is how we allocate our time. The student must decide if he or she will spend the evening studying mathematics or economics, or whether to devote time to study or leisure.
More traditional types of economic decisions involve activities of households and firms. For the households economic decisions must be made on how much money goes to housing, food, clothing, entertainment, transportation, and so forth. For the firms they must decide what items should produce. Should they produce a large number and sell at a low price or produce less and sell at a high price.