A rapid course in english for students of economics

The work which people do is called their economic activity, 10 Economic activities make up the economic system, ‘The economic system is the sum-total of what people du ad what The work w

A Rapid Course in English for Students of Economics

TOM McARTHUR

Oxford University Press, Walton Street, Oxford OX2 6DP

OXFORD NEW YORK TORONTO

DELHI BOMBAY CALCUTTA MADRAS KARACHI

PETALING JAYA_ SINGAPORE HONG KONG TOKYO

NAIROBI DAR ES SALAAM CAPE TOWN

MELBOURNE AUCKLAND

and associated companies in

BERLIN IBADAN

OXFORD, OXFORD ENGLISH and the OXFORD ENGLISH logo

are trade-marks of Oxford University Press

ISBN 0 19 437606 0

© Oxford University Press 1973

First published 1973

Eleventh impression 1990

All rights reserved No part of this publication may be reproduced,

stored in a retrieval system, or transmitted, in any form or by any means,

electronic, mechanical, photocopying, recording, or otherwise,

without the prior permission of Oxford University Press

This book is sold subject to the condition that it shall not, by way of

trade or otherwise, be lent, re-sold, hired out, or otherwise circulated

without the publisher's prior consent in any form of binding or cover

other than that in which it is published and without a similar condition

including this condition being imposed on the subsequent purchaser

Illustrations by Geoffrey Bargery

Printed in Hong Kong

General Aims

useful whether a student requires English as a library language of as

a full-time medium of instruction,

In addition to these basic aims, the material has been organized go

as to help three categories of stuđent; -

including those who are not familiar with the Latin orientation of

that no exercise is irrelevant to the needs of any student who wishes

to.master the fundamentals of English as it relates to economics Jt is

assumed however that every prospective student has taken as a minimum

a secondary school course (or its equivalent) in the English language Although the book is intended primarily for work under the guid- ance of a teacher who is familiar with English and the general ter- minology of English grammar, the provision of a key makes it possible for students working alone to acquire reasonable competence at this level, even where they are unable to have tutorial help

Arrangement

The general arrangement of each of the fourteen units approximates

to the following plan:

(1) One or two texts The length of the texts ranges from 16 lines in Unit 1 to a maximum of 127 lines in the later texts

(2) Exercises related to each text and successively to one other, deal-

ing with comprehension, syntax, arrangement of sentences and

vocabulary An index shows the distribution of grammatical topics throughout the units

(3) A supplement containing further vocabulary material, and/or , diagrammatic problems and exercises associated with matters of more general interest in economics Later supplements provide simple composition topics closely related to the preceding texts Teachers are encouraged to adhere closely to the work-plan out-

lined immediately after this introduction

The fourteen units are related to a numbered vocabulary list (pp 91-99) with parallel phonetie transcriptions The numbers indicate the unit in which a word first appears or appears to best advantage This numbering will assist teachers if they wish to compile vocabulary lists related to particular units, while the transcriptions provide the standard RP pronunciation of each item

Innovedions

The close inter-relation of texts, notes, exercises and special lists and

the concept of grading are not new, but the volume is characterized

by three innovations:

(3) Word-formation tables, To encourage a habit of analysing the more complex Word-forms of English, Special tables have been Provided at frequent intervals which demonstrate the formation,

of such words The inner structure of such a woid as nationalizas*

tion can be read off from the table on p 37 as follows: ,

— ——

-Presentation and Use coi

curriculum of a college ina variety of different ways One possibility

is to extend the course throughout a single academic year (in con- junction with regular, parallel courses), assigning it two periods a week Another possibility is to present it as an intensive course,

allowing for one unit to be studied in written and oral form each day

Experience indicates that most sections in the units can be accom- modated comfortably in periods of 35-40 minutes each, depending

of course upon how a teacher rations his time

In any course, however, the volume should be accompanied by a good dictionary and followed by a relevant simple introductory text- pook of economics proper Two recommended books for this are: Hornby and Parnwell: An English-Réader’s Dictionary, Oxford University Press -

Livingstone and Goodall:" Economics ‘and Development: An

Introduction, Oxford University Press, Nairobi, 1970

Acknowledgements ] Am grateful to Donald Rutherford of the Department of Economics,

Edinburgh University, for his valuable comments and criticisms Bearing his advice in mind, I have tried to finalize the texts so that

they-are faithful both to economics and to an integrated presentation

of the language; it is hoped that the result is harmonious Needless to say, full responsibility remains with me for the nature, selection and wording of the material in the fourteen units

1 should also like to thank the Editor; Ronald- Mackin, for his.-

incisive and sympathetic help in developing the book, and the students and friends whose responses and comments have helped Edinburgh 1972 to mould it

©

1 When you begin a unit, read the text carefully twice

2 Consult ‘your dictionary when necessary, stand a new word in its context, but first try to under-

3 The dictionary which is reco,

Hornby and Parnwell: 4

(11,000 entries),

4 When YOu answer the

munended for use with this volume is

a English-Reader’s Dictionary, QUP

9 Wh

doing the exercises,

[When you are asked to Punctuate

printed Passages, you should

Provide such symbols as capital letters, commas, full stops, brackets and colons (where applicable), ]

10 A supplement is added

which are not direct

Supplement is of more general interest, e,

tion; special vocabulary; Suggestions for

diagrams,

to most units It contains extra exercises

ly linked with the texts in the units, The

8 geographical informa

composition: the use of

Most people work in order to earn their living

They produce goods and services

Goods are either produced on farms, like maize and milk, or in

factories, like cars and paper

Services are provided by such thin gs as schools, hospitals and shops Some people provide goods; some provide services

Other people provide both goods and services,

For.example, in the same garage, aman may buy a car, or he may

buy some service which helps him to maintain his car

The work which people do is called their economic activity, 10 Economic activities make up the economic system,

‘The economic system is the sum-total of what people du ad what

The work which people undertake either provides what they need

or provides them with money, 1§

People buy essential commiodities with money

Exercises

1 Here are some questions about the Passage Answer them

garage?

d What do schoois, hospitals and J What do we call the work which

g What is an economic systém the 7 What can people buy with

h What two things can work

provide for the worker?

2° Combine these pairs of sentences as in the example -

‘The workers provide the services

=> The services which the workers provide are useful

hospitals g The work provides them with

People earn this money People undertake these

useful,

3 Change these sentences in the same way as the example Both sen-

EXAMPLE Perhaps he will come

= He may come ;

belongs to a city, a whole

4 In each of these words, underline the syllable which carries the main

stress Practise saying the words They are all used in this textbook EXAMPLE order — order

system; equal; solid; liquid; mobile; complex (adj.); regular; similar;

rapid; service; different; level; valuable; hospital `

UNIT 1

5 In each of these Words, underline the syllable Stress Practise saying the words They are all used which carries the main in this textbook

EXAMPLE produce —» produce (verb)

provide; exampie; belong; maintain; perhaps: Teplace; result; occur;

obtain: Police; arrange; appear: conctrn; describe; explain,

- 6 In each of these wards, underline the syllable Stress Practise saying the words, They are all used which carries the main in this textbook

EXAMPLE essential + essential

tomorrow; together; activity; commodity; productive; particular: equality; complexity; enjoyable: description; objective; necessity;

c( ) Education and medicine are

‘provided by schools and hospitals,

d(_ ) Cars and paper are agricultural goods

e{ ) Paper is a non-agricultural commodity

S( The work which people do

_ Ìs'called an economic system

g( )Acity has its own economic system

h( ) Economic activity is the sum-total of what people do and want

i( ) The work people undertake

‘provides them with money, or with what they need

J( ) Most people do not want to

buy non-essential commodities and services

2 in the sentences below replace which with that, When you have done this, re-write all the sentences without either which or that The meaning remains the same but the sentences become less formal

a The goods which they wanted were essential minerals

b The schools and hospitals which’

they provide are essential

¢ The goods which he buys are valuable

d The money which the people earned bought many

i The economic system which people belong to is the sum- total of their needs and actions

j The work which he undertook was useful but non-essential

3 In each of these sentences a word is missing Provide a word from Text B, from the lines given in brackets

a Transport systems like railv iys, buses and aeroplanes provide the public with important ©

5 They told him to look at the

and then do the exercises (4-6)

¢ There is usually a lot of

at any railway station or airport

that handles a lot of traffic (8)

g It was a matter and

he did not wish to tell anyone else about it (13-16)

a These goods belong to the nation, @ Shops are places of commerce

They are therefore centres of They are therefore activity

5 Minerals are a part of nature, They are therefore ——.—.<.—._ ` é He does not want anyone else to

do this work He wants to do the

¢ Schools provide education Work in person

They are therefore centres of — activity, ` [tis his concern

Most people work in order to éarn their living, and they produce

goods and services, This fact can be shown as a diagram:

Most people produce -

_—

goods or services

The things which people produce are called their products So the

shoemaker steelworker nurse

fruit-grower

This science is based upon the facts of our everyday lives

Economists study our everyday, dives

They study the system which ‘affects our lives

The economist tries to describe the facts of the economy in which

we live

He tries to, explain how the system works

His methods should be objective and stientific

We need food, clothes and sheltet - „- „

If we could ‘get food, clothes and shelter without working, we probably would not work

But even when ‘we have these essential things, we may want other

1 Answer these questions, basing your answers on the text

UNIT 2

d What do they try to do? ' get these essentials without

e What do they try to explain? ' working?

f What should the methods of the economists be like? } What might make life more

enjoyable?

& What three essential things do we need ? J What is economics concerned

with?

h What would happen if we could

2 Study the example, It shows how a conditional sentence is organ- ized Do the same-with the pairs of sentences: which follow EXAMPLEˆ X =Wehave money

Y == We can buy food, :

If X,Y = if we have money, we can buy foad,

a X = We have a radio, dX = The economic system of

Y = We can listen to the programmes, 4 country is strong,

: Y = The people will be able

& X = We have food, shelter to satisfy their wants

and clothes e¢ X = He wants to become an Y¥ = We have the basic economist

- necessities of life, Y = He must study

c¢ X = You want to get new : economics books

clothes :

Y = You must earn some

“money,

Y, if X = We can buy food, if we Have money

3 Now turn the Sentences of Exercise Z completely round

4 Punctuate the following passage Provide capital letters, commas, full stops, brackets, colons etc., where applicable, most people must work to carn their living they Produce goods and services, this is called economie activity, all economic activities together make up the economic system this’ system is very complex, economists

5 You have now used the three words economics, economic and économist There are also in this set the wards economical, econo-

Mically and economy, In a diagram we can show them like this:

?

d People shoitld be very ~

with the money they earn

5 which we live, and to explain how it all works The economist’s

methods should of course be strictly objective and scientific

We need food,.clothes and shelter We probably would not go to work if we could satisfy these basic needs without working But even

when we have satisfied such basic needs, we may still want other

ro things Our lives might be more enjoyable if we had such things as radios, books and toys for the children Human beings certainly have

a wide and very complex range of wants The science of economics is concerned with all our material needs: it is concerned with the desire

&( ) Economic Studies are e( ) If we could Satisfy our basic essentially non-scientific,

needs without working, we / h( ) Economists study the

would still work,

general life of our cémmunities,

Must decide whether jf g0es at the beginning of the first sentence or

the second,

@ He must study,

: # You work together building

‘ economist,

They will earn money, ', © Men study the economic system

¢ You will make more money " ofa country scientifically

EXAMPLE the work of the economist - the economist’s the work of the economists — the economists wort

work

a the work of the farmer ithe needs of the cattle-breeders

-

é the life of the man farmers

J the lives of the men i the work of the farmers and

& the toy of the child fishermen

A the toys of the children

c The child has i toy

d This is piece of coal

ui piece of coal is

g That is garage

- " _ garage contains three

cars

h That is — factory

factory produces cars

? That man is- farmer

_—_ - farmer used to breed cattle but now he breeds pigs

j Each country has —- economic system ——

economic system is.the sum- total of all _.- activities in that country

Not all economic systems are the same

The economic system of the United States is very different from the

economic system of the Union of Soviet Socialist Republics

The American system is based on private enterprise, Mu The Russian system is based on the principles of Karl Marx, se Kark Marx was a political economist who lived in the 19th century,

The American system is capitalistic, while the Russian system is

communistic, , :

The economic ideologies of these two nations differ very much from each other,

10 The economic-system of Britain is similar to the American system,

Britain has an economic system based on private enterprise and private supplies of capital,

Property in Britain and the United States can be owned by in-

dividual citizens, `

The economic freedom of the citizens of Britain and America is not

complete freedom,

, Citizens must obey the law, but otherwise they can use their time,

money and effort as they wish

Exercises

1 Answer these questions, basing your answers on the text

a What does the economic system- 6 What is the American system of the United States differ from? based on?

ke ta

?1:

based on? , United States and Britain?

2 What economic.system is the _American citizens obey? _

J On what two things is the and Americans use a3 they wish ? British system based? -

2 Make these sentences passive, as in the example

EXAMPLE Most people produce goods and services,

=> Goods and services are produced by most people

c That man owns the house i He told me how the Russian

e Economic changes affect our ’ is used in business

lives

3 Combine these pairs of sentences as in the example, making them

EXAMPLE (if) He comes tomorrow

Perhaps he will see you,

=> If he comes tomorrow, he may see you

that garage Perhaps the garage-owner goods to sell as well as to use themselves,

services, enjoyable

for the children

4 Here are two lists: The first list contains adjectives The second list contains nouns and noun phrases Arrange the words in each list so that the adjectives match the nouns in ways which relate to the text The first two are done for you

12

UNIT 3 vapitalistic ắ

- 8atisfaction

economic

Russian system

5 Form new words from the words listed below

EXAMPLE capital =» Capitalism = Capitalist => capitalistic <

Note: The suffix ism = System (noun) -

-ist = person (noun) -istic = about the System or person (adjective)

@ commune & social

¢ national d real

é individual

economist The economic ideologies of these two nations contrast

very strongly,

Private enterprise and private supplies of capital, which can be defined

as surplus income available for investment in new bisiness activities,

13

10

UNIT3

money and effort as they wish

Exercises

the United States and the Soviet similar to the American

b( ) In the United States the f(.’ Capital is essentially

means of production are surplus income used for new

c( ) Karl Marx was an g( ) Individual citizens in

thinker have complete economic

2 Make these sentences passive and omit the agent phrase in the same

way as in the example : EXAMPLE They based the economic system on Marx

=» ji The economic system was based on Marx

‘a They provided all the necessary ~~ ~~strictly scientific way:

c The farmer undertook the work essential and non-essential

h The people enjoy a strong

It

3 Arrange these sentences in order to make a logical paragraph about

the American and Russian economies

14

UNIT 3

4 This system was founded by the is capitalistic, the Russian

Karl Marx D Communism however is based

& Capitalism is based on the idea on the idea of property

property and privately business being public rather

4 (i) Find single words in the first Paragraph of the text for which these words could be substituted :

(ii) Find single words in the second Paragraph of the text for which these words could be substituted :

/ physical power

5 in the text there are two adjectives of nationality: American and Russian Below is a list of countries (nations) Study the example and then do the same for the listed words

EXAMPLE Siitain: That man is British; he is a Briton

Holland: That man is Dutch; he is a Dutchman, india: That man is Indian; he is an Indian

a Germany, Tnat man is he is a

b Italy: That man is ; he is an

c Spain: That man is ;heisa

Do the same for the following:

d Greece e Brazil - - f Sweden & Portugal

7 Scotland m Canada : - n Mexico’ 6 Norway

p Pakistan g Indonesia ` riran ` - 5 Turkey -

18

26 countries List them under these five headings: (a) Latin-Ameri- can; (b) North African; (c) Balkan; (d) South-East Asian; (e, others, :

Libya 7 France Brazil _ _ Malawi

Bulgaria Mexico Pakistan ’ Cambodia

Rumania Peru Algeria Nicaragua Philippines

A person is economically free, if he can do what he wishes own property, time and effort, with his

Tn all conununities, of course, limits are set upon this personal freedom

relatively simple - Be et

All individual citizens are required to: conform to the laws made by their governments ,

Complete economic freedom of action can cause great difficulties,

because the freedoms of various individuals will Confict - - -

factories in unsuitable places,

If there was no system of control, factory-owners might make their employees work too long each day

If they were completely free, workers might stop working when they got their first pay, and come back to do more work only when

they needed more money,

workers’ health, Wages and pensions, ˆ Peo had

_ They are Sometimes concerned with contracts between empl

25 Sometimes they help the employers; sometimes they protect the

interests of the workers

Exercises

4 Answer these questions, basing your answers on the text

a Under what conditions is a

person economically free? :

b What is the opposite of ‘simple’?

c What are all‘citizens required to

do?

_d Why does complete economic

freedom of action cause great

difficulties ?

e What three things might happen

if citizens were completely free?

J What kind of economy might

complete economic freedom

create? '

g What three workers’ needs are sometimes the concern of the law?

A Between whom are contracts © arranged?

i What else might the laws relate

to, besides workers’ needs and work contracts?

j What other important point should we note about laws

related to economic conditions?

ty sạc We Fe

2 Change the following sentences by inserting can

“EXAMPLE He does the work easily

= He can do the work easily

a He earns a lot of money

4 They work very rapidly in that

e Aman with a good education

usually earns quite a lot of

f People satisfy their needs only if

they earn money

g The citizens choose what they want to do

h People use their time and money

as they wish

3 Exercise 2 has provided you with eight sentences using can Change can to could in this way: ©

EXAMPLE He can do the work easily

=» in those days he could do the work easily, but not now

4 Combine some of the words in these sentences in order to make new compound nouns:

EXAMPLE (a) He owns a house

=> He is a house-owner

(b) They breed pigs

"= They are pig-breeders

18

a He owns a car,

5 That man owns some land

e¢ They breed horses,

@ Some capitalists own factories,

e That man earns his wages,

Those men mine for coal,

UNIT 4

& Those women grow fruit

’ A Mr Smith makes shoes,

i Mr Jones works with steel

J Mr Brown packs meat in that factory,

5 Make these adjectives negative by adding the prefix un—

EXAMPLE stable = un + Stable = unstable

(1) People do not like working in

: —- 0onditions (e)

(2) The employers decided to close

that factory because it was

LK

(3) Compiete economic freedom

is an ‘situation (0),

(4) Compared with our need for

food, clothes and Shelter, some

(5) We say that goods are sold at

prices, when the price

is less than the cost of producing

(6) The goods which he wanted

which he was willing to pay (h)

Ifa person can do what he wishes with his.own property, time, and

energy, then economists say that he is ‘economically free’, In ail

communities, of course, limits are imposed upon the personal free- dom of their citizens and these limits are in some cases very complex but in others relatively simple All individuals are required to conform

to the laws made by their governments,

Complete economic freedom of action can create great difficulties, because the freedoms exercised by various individuals often conflict

If citizens were completely free, some landowners might build factories

19

10

15

25

in unsuitable places, while some factory-owners might make their

employees work: too Jong each day If they were completely free,

workers might stop working when they got their first pay, and come back only when they needed more money Such economic anarchy

could cause instability (unemployment; loss of production etc.) in the whole economy of a country

Laws related to economic conditions are sometimes concerned with contracts between employers and employees Sometimes they

are concerned with workers’ health, wages and pensions, and some-

times with the location of places of work Sometimes they protect the

20 interests principally of the workers, while at other times they may be beneficial towards the employers The government policy towards both employees and employers will depend very much upon the political and economic ideology.adopted by the government, and may

be biassed towards employers and capital on the one hand, or workers and the problems of labour on the other hand

Exercises -

1 Say whether these statements are true (T) or false (F), and if they are false say why

a{ ) Economists say that a man

is economically free if he can do

what he wishes with his own

property, time and energy

freedom of action does not

create many difficulties

d(_ ) If citizens were completely

free, some landowners and

factory-owners might act in

g ( ) Laws related to economic conditions are sometimes concerned with the health of the

employers

h( 4 These laws usually protect the interests of the workers and not the employers

i( ) Government policy does

‘not depend on the political and

economic ideology of the

government

J\ ) Some ideologies are biassed

towards labour and others towards capital,

2 Make each pair of sentences into a new conditional sentence, changing may to might, and changing the tense:

20

UNIT 4 EXAMPLE (if) Citizens are Completely free,

Factory-owners’ may make their employees work

too long each day

= If citizens were completely free, factory-owners

a (if) There is no system of control conditions of work

They may make new laws

Landowners may build e( ) Employees anticipate new

factories in unsuitable and better working

places, -

conditions

5 ( ) They are completely, free, They may increase their

Workers may work only productivity

when they need money /( ) You regularly provide

badly

essential services,

¢( ) They Aave all the money they need, You may get more business

: & ( ) They undertake to replace the , They may not work, old school with a new one

d( ) The government want to improve the general We may provide some of the

money,

3 Punctuate the following Passage Provide capital letters, full Stops, brackets, colons etc., where applicable, « "°° commas,

britain and the us a have similar economic systems, both being based on

private enterprise property and capital, the russians however do not have such a system they follow a cominunistic system based on the work

of

the nineteenth century economist-tiarx his system is non capitalistic and

does not permit Private individuals to own property in a completely

communist society, we can Say that the two types of economy contrast

very strongly.this is a simple and brief statement of a complex subject -

the differences between the russian and the anglo american systems

5 cause (7-9)

¢ enjoyed (7-9) - 7 ˆ @ frequently (8~ro)

€ unsatisfactory (9-11) , f lawlessness (12-15)

5 Make these words negative by adding the prefix in-,

EXAMPLE Stability = in 4b Stability = instability

“@ active 5 activity

¢ secure d security

+21

e¢ organic JS sufficient gdefinie | A adequate

Use the appropriate words in their negative forms in these sentences The letters in brackets at the end refer to the list of adjectives above

a teaching b working *: ‘ec labouring - °

mecology - nescience -': _ oagronomy ~"

2 Mark the main stress in each of these pairs of word ,

EXAMPLE economy — economic

ideology — ideo/ogical

a organ ~ organic b active ~activity -

€ mobile - mobility drapid—rapidity ˆ

i productive ~ productivity

They still exist, but are limited to a small area in the economy,

Karl Marx imagined a world in which there would be no private

In practice, the Citizens of states like the USSR are permitted to

have personal Property,

The important thing about the Communist system is central |

planning,

- It decides what prices will be charged for them

The State provides all (or most of) the services which the citizens

và

‘ +

production as well as with quality and quantity

25 The central authority must plan the national economy over a

number of years

Exercises

1 Answers these questions, basing your answers on the text

a What two things are greatly

reduced in a communistic

system?

b What area do they occupy in

the economy?

¢ What did Karl Marx propose

about private property?

d What is the theoretical

communist view on property?

e What is the position in

practice?

communist system of central planning?

g What two decisions does the

ht What does the authority control?

i What can the authority do

j What is the State responsible for and what must it do?

2 Make these sentences passive, omitting the agent phrase

EXAMPLE The government reduced private property toa minimum

=> Private property was reduced toa minimum

a The government limited private

enterprise to a small area in the

d That factory produced a large

quantity of shoes last year,

e You will charge more money for

these services

J The central authority must plan

the economy over a number of

years

g The authorities provided large numbers of workers for the ten new factories,

hh The government reduced the quantity of shoes produced in that factory."

i The State organized the whole economic effort of the nation

j The central authority has planned the whole economic

programme for the next five

years

3 Combine these pairs of sentences, using what and wou/d

The planners decided /t

= The planners decided what quantity of goods would be produced

24

a These goods and services will be produced,

The central authorities decided

it

b These prices will be charged for the goods

` :

The planners discussed it

¢ This quality will be the most suitable,

The government considered it

_ a This commercial activity will be

useful in the next few years,

4 Change the listed adjectives into a

and put one adverb in each sente

EXAMPLE great => greatly

Their private property was

discussed it, `

J These conditions will affect the

national economy in the next twenty years:

€ economists considered the

matter, :

dverbs (~/y or —ally as necessary)

nce in order to make sense, Some

ly in more than one sentence, but best choice

a The new government worked

~~, —to change the laws,

5 The central authority ae

conteols the quality and quantity

of goods,

¢ The State — "plans the

economic effort of its ‘citizens,

‘d The economic system changed

omni OVER the thirty year

h The city has changed

in the last few years,

i These men work = from nine o’clock till five évery day,

J Ina free economy there is ——

very little central

planning,

5 Put prepositions in the blanks of these sentences

EXAMPLE The central authority is concerned : production

= The central authori

c¢ The governmenit is usually

responsible — _ the peopÏe

national economy

d Citizens are required to conform

reduction in the price _ - essential goods : -h That man subscribed _ _ a number of important news- papers and magazines containing information «= —

i The consumption _ coal and steel has increased greatly

— the law — -—Tecent years

he did

Text B

In states which have a communistic system, private property and private enterprise are reduced to a minimum They exist, but are limited to a small area of the economy Karl Marx conceived of a world in which there would be no private property whatsoever Com- munism in theory states that all property should belong to the State

In practice, however, the citizens of states like the USSR are per-

mitted to have personal effects , "

The important thing about the communist system is is central ˆ planning The State organizes the whole economic effort of ‘the nation A central authority with complete power decides what goods - and services will be produced The authority decides what quantities

of goods will be produced, and also controls their quality, deciding how the« will be distributed and what prices will be charged for them

In addition, the State provides all (or most of) the services which the citizens require It is responsible for the economy, and is therefore concerned with methods of production as well as with quality and quantity The national economy must be planned ahead over a

number of years

28

UNIT §

A Marxist economy is planned The system is related to the needs

of the State as a whole, not to the needs of the private person The 20

emphasis is Rf collective effort and not on personal effort, so that the

individual is subordinated to the needs of the collective State

&( ) Karf Marx wanted a world

in which there would be no

private property

¢{ ) Communist theory and

practice are not exactly the same

as regards property

a(_ ) Central planning by the

State is an essential part of

the communist system

e{ ) The central authority

decides on the quantity, quality,

price and place of sale of any

individual, i( ) Collective needs are more important in a communist state than the needs of the individual,

2 Combine these pairs of sentences, using which

EXAMPLE That is the garage

In that garage the new car is kept a + That is the garage in which the new car is kept

a Economics is a science

In that science everything must

be studied in an objective way

b The USSR has a system

In that system central planning

is very important

c The USA has an economy

In that economy government

planning is limited to quite a

In that way of life private

“enterprise and private ownership

of property are very important

/ The Americans and the British

In these ideologies there are many similar points

2

3 Combine these greups of three sentences using wau/d and should The table ‘shows the relationships between wi//: would and shall: should in sentences of this type

direct indirect statement | statement

“| simple future ‘will -> would

EXAMPLE ‘These goods and services will be produced

These prices shall be charged

The central authority decided these things

=> The central authority decided what goods and services wou/d be produced, and what prices shou/d be charged

a These prices will be charged for These plans shall be adopted

This quantity shall be made on these things

available, „ d These changes will be made next

things These crops shall be grown

these things se These wages shall be.paid'to-the

c These conditions will affect the workers for the next two years

in the next ten years these things

4 Make these words negative by adding the prefix jn and altering it to suit the consonant which follows EXAMPLE (a) legal > in + legal => illegal

(b) probable => in + probable = improbable (c) regular’ => in -+ regular => irregular

a mobile é proper Sf rational

g legivle h logical - i personal

j relevant

28

UNIT 5

5 Below are two lists Pair off each word in the first list Opposite in the second list , with its

:

theoretical : local private: individual , Maximum

selling mineral ~ -€omplex capitalistic T communistic simple ‘organic

buying + :.x€ollective

minimum ‘public national practical

Supplement

1 The table shows how words are formed around the verb produce, List all the -words you can make from the table and use them in

suitable blanks in the sentences :

a The company + —— a new e The of that factory

commodity every year, _ has gone down over the last

& The company’s newest — five years,

is a special blue soap powder, J The manager of the factory has cThe ˆ_- of SOAäp powders met idst year to discuss prices, — decided that they must increase their

2 This table shows how certain nauns can be formed from certain

adjectives, as for example activity from active Make a list of the

nouns and put each word in its suitable place in the sentences Note

the loss of the letter e in active, secure, mobile and productive

regular productive similar rapid

’ b The movements of the products

in the factory was rapid

e The national economy, like a

man, should be active

Its i is a sign of its

J Your money is secure in the

important both to you and to the

There_ _is very useful to

the national ecohomy

Those men arrive regularly at

well-known, The American and British, economic systems are very

surprising ‘

Those two men earn equal sums

in wages because they produce:

the same quantity and quality of goods,

The exchange of money should

be as liquid as possible

The . - of money helps

— Š

3 Composition Write about 300 words on the topic “Economic

Systems’ Use the material in the texts and exercises

30

The various national economic systems tend towards communism

or capitalism, and many are difficult to classify exactly,

‘It has been found necessary in many countries to control or regu- s fate national economic conditions,

` Even the most dedicated free enterprise systems, such as the USA,

: “have felt this need, :

` The under-developeđ countries of the world are usually interested _in control and longterm planning

10

— Such countries as India have had a number of plans guided by the government

India makes a distinction between the public sector of the economy

on the one hand and the Private sector on the other hand Such systems, with public and private Sectors, are neither com- 1 5 munistic nor capitalistic, but are sometimes called mixed economies, Britain today has a mixed ‘economy ,

In the public sector of British economic life are the nationalized

industries like coal and Steel, British Rail and BOAC), |

In the private sector are the majority of the nation’s industries, 2o

both large and small Leng | ¬

h

The private sector includes giant companies like ICI? and BP? and

a great number of small family businesses,

31

In 1962 the British government set up an official body to plan

25 national economic policies _ Cons 5

This body i is called thé National Economic Development Council,

The members of this council are representatives of the employers,

the employees and other interested people

? BOAC: British Overseas Airways ‘Cotporation

* ICT: Imperial Chemical Industries

3 BP: British Petroleum

Exercises

1 Answer these questions You may answei either YES or NO Give

your reasons Quote from the text in support of your answer

a Are there any completely

communistic states ?

b Are there any completely

capitalistic states?

¢ Do the various national

economies tend towards one or

other ideology?

d Are the various economic

systems difficult to classify ?

e Have most countries found

economic control necessary?

J Has the US felt the same need?

g Are the ‘under-developed

countries interested in control ;

and planning?

oh Has India had a number of

national economic plans?

Is the Indian economy based entirely on private enterprise ?

J Does the Indian economy have two distinct sectors?

— * 1s the Inđian system a mixed economy?

11s BOAC a nationalized British industry ?

ms ICI a nationalized British

5 Answer these questions, basing your answers on the text

a Why is it difficult to classify

many national economic

‘systems?

b What are the under-developed

countries interested in?

c What is the Indian system

3 Invert these sentences (cf, lines 18 and 20 in the text),

EXAMPLE The majority of the nation’s industries are in the private sector

32

UNIT 6

@ The nationalized industries are sector of many socialist

economic life,

d Food production and distri-

of the national economy,

commodities ia any economy, é The coal and stee! industries are

the end

Add the following information to your five Sentences, in arder to

practise the technique,

These industries play a vital part in maintaining the life

of the nation, ;

= In the private sector are the majority of the of the nation industries, which play a vital part in Maintaining the life nation’s

Ø (to 3a) These industries include various types of transport, national work-force

- @ (to 3d) Food Production and

mining ,

most basic activities in any

generally classified as heavy

employ a large part of the -

/ are listed, but not in the proper order Note that all

causing something to happen,

EXAMPLE They mace the economy regular => They regulated the economy

complicate; consolidate; liquidate: simplify; hationalize; international

ize; activate: re-activate

‘

a They made the subject complex, They made the subject simple, € They made the businesses ‘solid? (by bringing them together),

33