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Vocabulary

for their own sake для самих себе

capital goods основні засоби

виробництва

whether або

to sew шити

sewing machine швейна машина

to repair ремонтувати

striking вражаючий

to be worth of smth варто чого-небудь

fixed capital основний капітал,

основні фонди,

основні засоби

working capital оборотний капітал

оборотні фонди

оборотні засоби

barn амбар, сарай

cowshed хлів, корівник

seed зернина, зерно

fertiliser добрива

timber ліс, лісоматеріал

expenses витрати

running expenses експлуатаційні витрати

    1. Choose the correct form of the Verb and translate the sentences:

  1. Consumer goods (want / is wanted / are wanted) for their own sake.

  2. Capital goods (help / has helped / are helped) to increase the output of consumer goods.

  3. Goods can (class / is classed / be classed) into two groups.

  4. It depends on the use to which goods (be put / are put / will put).

  5. Capital can (be classed / classed / class) as either fixed or working capital.

  6. Fixed capital (is comprised / comprises / comprise) various things which do not change in the process of production.

  7. Working capital (includes / include / is included) things which (is used / are used / use) up in the process of production.

    1. Translate these word combinations and use them in sentences of your own:

багато швидких машин великий відсоток доходу

три тисячі фунтів два мільйони чоловік

декілька сот фірм сотні студентів

10% сучасного виробництва сотні родин

    1. Complete the sentences using these words:

working, running, clothing, repairing, manufacturing

  1. ... expenses include those for buying materials, paying wages etc.

  2. A sewing machine can be used for ... clothes.

  3. She works for a ... factory.

  4. One of the types of industry is ... industry.

  5. ... capital includes things which are used in production.

    1. Make sentences using these word combinations:

a motor car a furniture maker’s

supplies

a farmer’s seeds a three room flat

a shoe manufacturer’s stocks a five per cent discount

    1. Group these words into two columns:

buildings

machinery

timber

textbooks

barns

book

tractors

seeds

fertilsers

stationery

leather

furniture

Working capital Fixed capital

    1. Give definitions of the following:

Capital goods Natural resources

Consumer goods Manufactured resources

Durable goods Farm resources

Non-durable goods Credit resources

    1. Translate into English:

споживчі товари витрати і доходи

оборотний капітал виконувати роботу

основний капітал наймати робочих

швейне виробництво виплачувати зарплату

Text 3: Capital and investment

In economics, the word investment does not mean buying shares on the Stock Exchange or putting money into a savings account. The word is used to describe the production of real capital goods. Investment takes place when capital goods are produced. Gross investment is the total output of capital goods during a given period of time, usually one year.

But capital goods are always wearing out or becoming out of date. Some part of the total output of capital goods, therefore, will be required to replace the worn-out and outdated equipment. Depreciation describes the extent to which a stock of capital loses its value owing to wear and tear and obsolescence.

Net investment is the annual increase in the total stock of capital. This will obviously be less than gross investment, because some of the new capital will be required to replace the outdated and worn-out capital. Therefore

Gross investment minus Depreciation = Net investment

The rate of net investment in a country is a very important item. It tells us the rate at which that country’s stock of capital is increasing. Future productivity depends very much on the present rate of net investment.