Text 1 What is Money?

Money – one of our truly great inventions – constitutes a most fascinating aspect of economic science.

Money is also one of the most crucial elements of economic science. It is much more than a passive component of the economic system – a mere tool for facilitating the economy’s operation. When operating properly, the monetary system is the lifeblood of the circular flows of income and expenditure, which typify all economies.

A well-behaved money system is conducive in both full production and full employment. Conversely, a malfunctioning monetary system can make major contributions to severe fluctuations in the economy’s levels of output, employment, and prices, and can distort the allocation of resources.

What is money? Money is what money does. Anything that performs the functions of money is money.

Money is used for buying and selling goods for measuring value and for storing wealth. Almost every society now has a money economy based on coins and paper notes of one kind or another.

A coin is a peace of metal, usually disk-shaped, which bears lettering, designs or numbers showing its value. Coins have been made of gold, silver, copper, aluminum, nickel, lead, zinc, plastic, and in China even from pressed tea leaves.

Most governments now issue paper money in the form of notes, which are really “promises to pay”. Paper money is obviously easier to handle and much more convenient in the modern world. Cheques, bankers’ cards, and credit cards are being used increasingly and it is possible to imagine a world where “money” in the form of coins and paper currency will no longer be used. Even today, in the United States, many places – especially filling stations – will not accept cash at night for security reasons.

7. Ответьте на вопросы:

1) What does money constitute?

2) Does the monetary system always operate properly?

3) Money is a mere tool for facilitating the economy’s operation, isn’t it?

4) How can a malfunctioning monetary system influence the economy?

5) What is money?

6) What is money used for?

7) What have coins been made of?

8) What kind of money is being used increasingly now?

8. Закончите предложения, произведя нужный выбор:

1) Money is

a) one of our truly great inventions;

b) a passive component of the economic system;

c) an important tool for facilitating the economy’s operation.

2) When operating properly, the monetary system is

a) the most fascinating aspect of economic science;

b) the lifeblood of the circular flows of income and expenditures;

c) the symbol of economic stability.

3) A well-behaved monetary system is conducive in

a) full unemployment;

b) full production;

c) full employment.

4) A malfunctioning monetary system

a) usually changes the economic situation;

b) never distorts the allocation of natural resources;

c) can contribute to severe fluctuations in the economy’s level of output.

5) Money is what money

a) makes;

b) constitutes;

c) does.

6) Almost every society now has a money economy based on

a) cheques;

b) banker’s cards;

c) coins and paper notes.

7) Coin is a peace of

a) paper;

b) metal;

c) pressed tea leaves.

8) Paper money is obviously easier to

a) pay;

b) store;

с) handle.

9. Дайте на английском языке развернутое определение понятию “money”.

Part 2

1. Прочтите и запомните значение следующих слов и словосочетаний:

medium of exchange	средство расчетов
means of payment	средство платежа
goods and services	товары и услуги
social invention	социальное изобретение
resource supplier	поставщик ресурсов
marketplace n	рынок, рыночная площадь
full range	весь набор
measure of value	мера стоимости
monetary unit	денежная единица
yardstick n	критерий, мерило
relative worth	относительная стоимость
heterogeneous a	разнородный
common denominator	общий знаменатель
transactor n	участник сделки
commodity n	товар
store of value	средство сбережения
liquid a	ликвидный
spendable a	то, что можно потратить
assets n pl	имущество
real assets	недвижимое имущество
paper assets	ценные бумаги
monetary return	денежный доход
property n	собственность
bond n	облигация

2. Переведите следующие слова, обращая внимание на суффиксы, характерные для разных частей речи:

usable, relative, possibly, convenient, complication, finally, rational, barter, advantage, immediately, available, supplier, measure.

3. Подберите слова близкие по значению:

1) commodities n pl	a) avoid v
2) allow v	b) different a
3) worth n	c) perhaps adv
4) society n	d) goods n pl
5) heterogeneous a	e) permit v
6) possibly adv	f) at once
7) escape v	g) community n
8) immediately adv	i) value v

4. Соотнесите английские фразы из левой колонки с их русскими эквивалентами в правой:

1) first and foremost	a) удобный способ
2) on the other hand	b) владение деньгами
3) which allows	c) финансовые обязательства
4) to store wealth	d) воспользоваться преимуществом
5) to escape complications	e) облегчают принятие решения
6) to gain the advantage	f) приносить денежный доход
7) permits transactors	g) который позволяет
8) facilitate decision making	h) во-первых, и прежде всего
9) financial obligations	i) легко принимаются
10) holding money	j) хранить богатство
11) to yield monetary returns	k) избегать неудобства
12) are readily acceptable	l) позволяет участникам сделки
13) a convenient way	m) с другой стороны

5. Прочтите текст и постарайтесь понять его содержание: