Внеаудиторное чтение по английскому языку. Учебное пособие

leads to rising crime, disorder and social unrest. We can probably expect a new wave of riots and violence in the continent's city centres.

The tragedy is that there is nothing unavoidable about Europe's unemployment crisis. The US is proof that even the most modest of fiscal stimuli can create jobs. But politicians in Germany, where mass unemployment in the 1930s helped the Nazis seize power, refuse to countenance any loosening of the fiscal purse strings inside the EU, arguing that such a move would increase borrowing costs and might panic the bond markets. Yet, as the Nobel-prizewinning economist Christopher Pissarides has written, “a small rise in gilt interest rates is a small price to pay for more jobs”.

Here in the UK, where unemployment stands at a 17-year high of 2,7 million (or a staggering 6,3 million if the "underemployed" are included), our own do-nothing chancellor, George Osborne, continues to proclaim that “the British government has run out of money”. Really? Perhaps he should have a word with Mervyn King. Over the past three years, the Bank of England governor has, with a mere tap on his keyboard, authorised the creation of £325bn of new money, out of thin air, through a process of "quantitative easing" (QE). This, however, has so far been used only to bail out the bankers. Why not use it to bail out millions of jobless Britons?

If we assume it would cost £26,000 (the median salary for UK workers) to create each new job, the cost to the government of putting a million people back to work would be £26 bn – or around half of the latest £50 bn tranche of QE released by the Bank last month.

How many more of Europe's jobs will be sacrificed at the altar of deficit reduction? How many more lives ruined, families impoverished and communities destroyed in pursuit of growth-choking, job-killing, self-defeating austerity? It is unacceptable for governments to stand by as dole queues lengthen. Unemployment is not a price worth paying. Nor is it a price that has to be paid.

(By Mehdi Hasan, The Guardian)

9.1 Read the text thoroughly and be ready to arrange the following statements into the logical order of the text:

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1Poll after poll shows voters across the EU care much more about the jobs deficit than they do about the budget deficit.

2Fiscal consolidation has failed to spur growth or boost employment.

3Jobless figures are the one major economic indicator that measures people.

4Unemployment is not a price worth paying. Nor is it a price that has to be

paid.

5Basic economics teaches us that the best way to cut borrowing levels is to get people back to work and paying taxes.

6The tragedy is that there is nothing unavoidable about Europe's unemployment crisis.

7Spain holds the EU record, with unemployment at 23.3%, or 5.3 million people – and rising.

8Having a job isn't just about earning a living or paying taxes; it's about human dignity and self-worth.

9.2 Match the words with their definitions:

9.3 Insert the correct preposition.

1The appeal fell in practice ….. deaf ears.

2Some local businesses have offered to bail ….. the museum.

3We are expecting a sharp rise ….. interest rates.

4The company made a loss ….. $250,000 last year.

5They ran ….. of money and had to abandon the project.

6Problems with childcare remain the biggest barrier ….. women succeeding at

work.

7 There are no simple solutions ….. the problem of overpopulation.

9.4 Say whether the statement is true or false. If the statement is false, give the correct variant:

1 Jobless figures are the one major psychological indicator that measures people. 2 Spain holds the EU record, with unemployment at 5.3 million people.

3 Adam Smith put it: “Look after unemployment and the budget will look after itself.”

4 The tragedy is that there is nothing unavoidable about Europe's unemployment

crisis.

5 In the UK unemployment stands at a 17-year high of 2.7 million.

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9.7 Finish the following sentences using the original text:

1Jobless figures are the one major economic indicator that… .

2Poll after poll shows voters across the EU care much more about the jobs deficit

than… .

3Basic economics teaches us that the best way to cut borrowing levels is… .

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4The human and social costs of unemployment are well-documented: financial hardship, emotional stress, depression, lethargy…. .

5As the Nobel-prizewinning economist Christopher Pissarides has written, "a small rise in gilt interest rates is… .

6Unemployment is not… .

10 The company promised they would make no staff … for at least two years.

a) deduction; b) reductions; c) induction.

9.9Write out key expressions. Make up a plan for retelling.

9.10Be ready to retell the text in class.

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10 Unit 10 Oil prices: 10 reasons to be fearful

Already newspaper headlines are screaming out the news of record petrol prices in the UK and there are growing concerns about the latest headwind for a sluggish UK economy

Oil prices have surged by more than 12 % since the start of the year to hit $125 a barrel and some analysts see them pushing even higher to $150.

Already newspaper headlines are screaming out the news of record petrol prices in the UK and there are growing concerns about the latest headwind for a sluggish UK economy.

Alan Clarke, UK and eurozone economist at Scotiabank in London, has sought to lay out how a jump in the oil price impacts on the UK. Here he gives Britons 10 reasons not to be cheerful about the oil price jump:

1.Higher petrol prices: Given the typical relationship between petrol prices on the forecourt and the price of crude oil, if the latter did move up to $150 a barrel, we could expect the price of petrol a litre to move up from around £1.34 to over £1.50 – a new record high by a significant margin. That is bad news for both inflation and consumer confidence.

2.Higher household energy bills: Gas and electricity prices typically take a steer from the price of oil. If oil rises sharply, it is more likely than not that household energy bills will rise at some point. Indeed, the price of gas traded in the wholesale market has risen by at least 10 % over the period since oil has been surging.

Timing is key. In continental Europe, particularly France, when oil prices move, household energy bills typically adjust very promptly. By contrast, in the UK, price hikes are unusual at the end of winter. This is because utility providers will get lots of bad press, but not much increase in profit margins as households switch off their central heating for summer. If, however, elevated oil prices persist until the autumn, then utility bill hikes at that point will become more likely.

3.Higher food prices: A fair proportion of the cost of food is distribution, fuel for farm vehicles and petro-chemicals. Furthermore, the emergence of bio-fuels means that

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higher oil prices has tended to exert upward pressure on agricultural commodity prices, since these can be used as a substitute for oil. Higher agricultural prices typically mean higher food prices in household shopping baskets.

4.Risk of persistently high inflation: All in all, we calculate that in a scenario where oil prices surge to $150 per barrel, CPI inflation in the UK would be at least 1 % higher at the end of this year than we have assumed in our base case. That would mean inflation ends the year a little above 3 % rather than the near 2 % that we and most other forecasters assume.

5.The value of savings is eroded: If inflation out-paces interest rates, then it means the “real” value of savings will fall. For example, with interest rates around 0.5 % but inflation running at 4 %, the real return on savings is falling.

6.High inflation makes it hard for the Bank of England to support economic growth through low interest rates: The Bank of England's target for CPI inflation is 2 % year-on- year with a tolerance threshold of 1 % either side of that. If inflation looks likely to persist above that level, then it is less likely that the Bank of England will support economic growth with further policy easing (i.e. quantitative easing) and might even have to raise interest rates more quickly than were it not for elevated oil prices.

Having said that, the Bank does have some wiggle room. For example, inflation was close to 5 % when the Bank engaged in the latest round of quantitative easing.

7.High street retailers suffer: Consumers don't have much choice about whether or not to pay for food or energy. They need to eat and they need to heat their homes. Hence increased expenditure on these as their prices rise leaves less spare cash to spend on 'fun stuff' i.e. discretionary goods such as TVs and clothing.

8.Inflation hurts economic growth: The causality between growth and inflation has run in reverse over the last year. High inflation has dampened growth. Conventional wisdom might have argued that weak growth would have led to slow inflation. The great hope for 2012 is that slowing inflation will help growth to resume an upward trajectory. More specifically, if inflation falls sharply it will reverse the squeeze on household spare cash, in turn helping to revive consumer spending. If oil rises to $150 a barrel we will

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probably still see a slowdown in inflation and a recovery in growth, though not quite as

impressive as would have been the case with lower energy prices.

9.The government's austerity programme suffers: There are a number of channels through which higher oil prices will impact the public finances:

a) The government will face a higher interest burden on the portion of the national debt that is linked to inflation;

b) Slower economic growth will reduce tax receipts and could raise government outlays on unemployment benefits;

c) The government may choose to increase winter fuel subsidies to the elderly against a backdrop of higher energy costs;

d) It is harder for the government to implement the planned increase in petrol duty given the risk of public backlash;

10.Fuel protests and disruptions: Public anger at the rising cost of fuel could provoke blockades and strikes. Panic buying and queues at petrol stations are not good for sentiment and overall business activity.

(The Guardian)

10.1 Read the text thoroughly and be ready to arrange the following statements into the logical order of the text:

1 Gas and electricity prices typically take a steer from the price of oil.

2 Oil prices have surged by more than 12% since the start of the year to hit $125 a barrel.

3 Consumers don't have much choice about whether or not to pay for food or energy.

4 Public anger at the rising cost of fuel could provoke blockades and strikes.

5 If inflation out-paces interest rates, then it means the 'real' value of savings will

fall.

6 Conventional wisdom might have argued that weak growth would have led to slow inflation.

7 Higher agricultural prices typically mean higher food prices in household shopping baskets.

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8 It is harder for the government to implement the planned increase in petrol duty

given the risk of public backlash.

10.2 Match the words with their definitions:

10.3 Insert the correct preposition.

1The financial considerations are laid ….. in a booklet called “How to Borrow

Money”.

2You will probably sell the car ….. some point in the future.

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3Charles tends ….. obesity.

4She had to pay a £35 fine ….. speeding.

5Interest rates were cut and, ….. turn, share prices rose.

6All these PCs are linked up ….. the network.

7House buyers usually have a large initial outlay ….. carpets and furniture.

10.4Say whether the statement is true or false. If the statement is false, give the correct variant:

1 Oil prices have surged by more than 12% since the start of the year.

2 In France, when oil prices move, household energy bills typically adjust very promptly.

3 With interest rates around 0.5% but inflation running at 4%, the real return on savings is falling.

4 If oil rises to $50 a barrel we will probably still see a slowdown in inflation.

5 Panic buying and queues at petrol stations are not bad for sentiment and overall business activity.

10.5Answer the following questions.

1 What are newspaper headlines screaming out?

2 How have oil prices surged since the start of the year?

3 How many reasons does Alan Clarke, UK and eurozone economist at Scotiabank in London, give Britons not to be cheerful about the oil price jump?

4 What will happen if oil rises sharply?

5 Why are price hikes unusual at the end of winter in the UK? 6 What do higher agricultural prices typically mean?

7 How does high inflation influence the Bank of England?

8 What does increased expenditure on food and energy lead to? 9 What is the great hope for 2012?

10 What could public anger at the rising cost of fuel provoke?

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