Глотова Английский язык

6) Barbara Marriot, of Chicago, wants to travel to remote parts of the world with a group of friends. She doesn’t mind spending nights in a tent.

3.Read the letters and guess who is each postcard from?

4.Are these sentences true or false?

1)James is speaking a lot of Spanish on his holiday.

2)Lisa doesn’t like the villa she is staying in.

3)Ritchie and Paul are bored at Camp Redwood.

4)They like the food at Camp Redwood.

5)Barbara has already visited India.

6)She has a lot of pictures of her trip.

7)The Golden Sands caravan park is a boring place for kids.

8)Mrs Wilson has already been to Greece.

Listening  7b

5. Listen to a family discussing what type of holiday to have. What is their final decision?

Writing

6. Write a postcard to an English-speaking friend about your ideal holiday. Describe what type of holiday it is, how you have traveled there, where you are staying and what you are doing.

Speaking

7. Are these types holidays popular with people from your country? Which type of holiday would you prefer?

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UNIT 8

ECONOMY

GREAT BRITAIN

I

A SHORT GUIDE TO THE FORCES

THAT INFLUENCE THE ECONOMY

The economy is fundamental for solving our national problems. If we do not function efficiently as a trading nation, we will not earn enough money to pay the taxes that fund education, health and other services. The government can do its best to improve existing services by better management of public sector. But in the end, there are only two ways to increase public spending. One is to charge higher taxes, this policy is a guarantee to lose votes for a political party. The other is to become a richer nation. However there is no simple economic formula for achieving this result.

How rich are we?

The key indicator is our gross domestic product (GDP). This represents the total sum of our earnings as a nation (equivalent to about $1.5 trillion per year). The GDP per person is $25 500. The economy is forecast to grow by 3.5% this year, so in theory we should all be 3,5% richer. However wealth is not divided equally. Since 1979 the top 10% percent earners have seen their income increase by 59%. The bottom 10% have seen only a 6% increase. So the rich really have been getting richer.

Inflation

Inflation usually indicates the average increase in the retail price index (RPI), a representative group of goods and services that shows how fast prices are rising or falling. Inflation, currently 2.6%, is regarded as bad for the economy because it erodes the value of our money. And a weaker pound makes it more expensive for us to buy our imports and to buy goods when abroad.

Interest rates

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The government and the Bank of England regularly have to make difficult decisions about raising or lowering interest rates. If British interest rates go up, sterling becomes more attractive to foreign investors. This increases the value of sterling compared to other currencies. Exporting companies however oppose this move because it makes their goods more expensive and thus harder to sell. Another theory is that higher interest rates encourage people to save rather than to borrow and spend, and that reduces demand in banking services. During recession, when nobody is spending much, the opposite method is applied: interest rates are lowered to encourage more spending and keep the economy moving.

Taxation

After interest rates, taxation, especially income tax, is the most effective way of controlling inflation. The theory is simple: if we are taxed more, we have less money to spend and inflationary pressure is reduced. If the economy as a whole improves, making people richer, tax revenues automatically increase because more people are working and earning more and companies are making higher profits.

Vocabulary

1. Find in the text English equivalents to the following words and word combinations:

решить проблему, эффективный (2), зарабатывать деньги, вкладывать деньги в образование, улучшать(ся), расходы на социальную сферу, облагать более высоким налогом, достигать результата, ВВП, вырасти/увеличиться на 3, 5%, падать (снижаться), принимать решение, привлекательный для иностранных инвесторов, валюта, процентная ставка, возражать, поощрять, налог, налогообложение, подоходный налог, налоговые поступления, сокращать, получать прибыль.

Reading

3. Choose the correct answer:

1.The best way to increase spending on public services is by … a) higher taxes.

b) making the country richer.

c) managing the public sector better.

2.Since 1979 the gap between the rich and the poor in Britain has … a) decreased by 6%.

b) increased by 59% c) got bigger.

3.The retail price index indicates

a)how fast national income is rising or falling.

b)the changes in the average standard of living.

c)how prices for a certain group of goods change.

4.If interest rates in Britain go up… a) a sterling becomes more valuable. b) the rate of inflation increases

c) Britain can export more goods.

5.If the government increases taxes… a) interest rates go up.

b) inflation usually goes down. c) the economy improves.

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4. Answer the questions:

1)Why is raising tax rates not the best way to increase public spending?

2)How much will the British economy grow next year?

3)How much does the average British worker earn per year?

4)What negative effects does the reduction of currency value have?

5)Which group of people does not favour a strong pound?

6)What does an increase in interest rates lead to?

7)What measures are usually taken by the government during recession?

8)How do taxes affect inflation?

9)Why do tax revenues increase when economy improves?

Speaking

5. Explain why…

a)political parties do not usually want to impose higher taxes?

b)the growth rate is 3.5%, but not everybody will become 3.5%

richer?

c)people with money in the bank do not like inflation?

d)British exporters do not like to see pound very strong?

e)higher taxes reduce inflation?

Writing

6. Imagine, you are the head of the Bank of England. What measures would you take in the following situations. Write your directions explaining the reasons for a certain policy.

-RPI shows dramatic rise in inflation.

-Strong pound causes drop in exports and there is danger of job losses.

-Recession hits «high street shops».

Listening  8a

7. You are going to listen to Kate Barker, an economist and a member of the Bank of England’s Monetary policy Committee, talking about monetary policy. Complete the sentences:

At the Bank of England, in common with most ___________ , when we look at monetary policy, it involves ____________ .

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The aim of monetary policy is to keep __________ . when you setting interest rates, what you are trying to do is to ____________ , what people consume, ___________, in line with the long-term ability of an economy to ____________ through labour, through people employed and through the capital employed, machinery, ___________ .

__________ , this will mean that individuals will tend to _________. Also for companies, investment decisions are more expensive and that means that __________ .

__________, the opposite happens - _______ rather than save and companies have more of an incentive to invest, and that means that

________ . And it’s by trying to set demand, to keep demand in line with supply in future, so that __________ .

When the central bank sets the base rate _________ , it affects the whole structure of interest rates in a country. For example, in the United Kingdom one of the things that affects very quickly is __________ to households for their mortgages, but of course it will also affect the rates

__________ . of course that just means that _______________ . What happens too other interest rates, ___________ , can be quite different.

II

WHO SHOULD HAVE CONTROL?

Nationalization occurs when the state takes over control of a business from private owners. The opposite process is called privatization: the government hands over control of a state-owned business to private owners. Nationalization was common in Europe after World War II but privatization became the dominant economic trend during the 1980s and 90s, especially in Britain. The results are different. After privatization, the British Airways became a highly successful and competitive international airline. The privatization of British Rail, on the other hand, is seen as a disaster: a single national rail network turned into a collection of expensive and inefficient train services operated by a number of uncoordinated private companies.

Read the arguments for privatization and for nationalization and find six statements (A-N) which have been placed in the wrong

column.

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F.Privatization, especially in poor countries, can lead to a situation in which most of the wealth of the country is hands of a few very rich people while the average standard of living of population is extremely low.

G.State-controlled companies become inefficient and corrupt because managers are often selected for political reasons.

to occur – происходить, случаться to take over – принимать от другого to hand over – передавать другому

to own smth. – владеть чем-либо, иметь что-либо в собственности

competitive – конкурентоспособный on the other hand – с другой стороны disaster – бедствие, катастрофа network – сеть

incentive – стимул

to run a business – управлять предприятием, вести бизнес to be available for – быть доступным для кого\чего-либо common good – общее благо

to interfere with – вмешиваться во что-либо purpose – цель (= aim, objective, target) wealth – ,богатство, благосостояние corrupt – подкупать

to be responsible to smb. for smth. – быть ответственным за что-

либо перед кем-либо

to be afraid of – бояться чего-либо

to cause – вызывать что-либо, являться причиной to be accompanied by – сопровождаться чем-либо

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