4. Money

Money performs a number of functions. First of all, it serves as a measure of value; that is, it is used to measure the value of all other commodities. Each commodity is sold for a certain sum of money, which expresses its value. The value of commodity in terms of money is called its price.

Money is ideal unit for expressing the value of all other commodities. What this means is that to measure the value of commodities it is not necessary to have cash. As acts of sale and purchase (i.e. the exchange of commodities for money) are repeated many times, the seller and buyer mentally equate the commodity to a certain amount of money (or gold) corresponding to its value.

When commodities are exchanged with the aid of money, the lat­ter also serves as a means of circulation. To perform this function money has to be real, not ideal. What is important is that anyone receiving these symbols of value must be assured that they will be accepted from him too, when he pays for other commodities. That is why states declare paper money to be legal tender.

Money also serves as a means of accumulation treasures. This function stems from the fact that money can buy any commodity. Therefore, money is a universal embodiment of wealth and means of accumulating it. Taken out of circulation, however, money beco­mes treasure only if it is gold, or money converted into articles of gold, silver and other precious metals or stones.

I . Прочитайте та перекладіть текст.

II. Визначте які з поданих тверджень відповідають змістові тексту. Запишіть номери цих речень.

1. Money serves as a measure of commodity value.

2. Money is not always in the form of cash.

3. Money is a universal embodiment of wealth when taken out of cir­culation.

4. Money is used in acts of sale and purchase.

5. Money can buy any commodity.

6. The exchange of commodities is repeated many times.

7. Each commodity is sold for ideal money.

III. Прочитайте наступні питання. До кожного питання пропонується 3 варіанти відповідей. Запишіть номер питання та літеру того варіанту, який ви вважаєте вірним.

1. Under what condition money serves as a means of circulation?

1. Money can buy any commodity,

2. Anyone receiving money must be assured that it will be accepted from him too, when he pays for other commodities.

3. The seller and buyer mentally equate the commodity to a certain amount of money.

2. What is an ideal unit for expressing the value of goods?

1. gold;

2. silver;

3. money.

3. What is a declared by states as a legal tender?

1. commodities;

2. goods;

3. paper money.

4. What is a universal embodiment of wealth?

1. gold;

2. money;

3. commodity.

5. When does money become treasure?

1. only when it is gold;

2. when taken out of circulation;

3. when it is converted into precious metals or stones.

6. What can buy any commodity?

1. value;

2. money;

3. goods.

7. Who equates the commodity to a certain amount of money?

1. seller;

2. producer;

3. people.

IY. Виберіть слова, які відповідають змісту наступних речень:

1. People mentally equate the ... to a certain amount of money.

1. treasure

2. value;

3. commodity.

2. Money serves as a means of … treasures.

1. consumption;

2. accumulation;

3. fund.

3. Exchange and consumption of goods include the movement of material ... .

1. values;

2. money;

3. cash.

4. Money ... the value of commodities.

1. performs;

2. expresses;

3. functions. .

5. … is the value of goods in terms of money.

1. price;

2. wealth;

3. value.

6. The buyers ... money for commodities.

1. pay;

2. receive;

3. purchase.

7. The sellers ... the commodities for money.

1. buy;

2. pay;

3. exchange.

Y. Виберіть і напишіть замість крапок форму дієслова, яка б відповідала граматичним нормам англійської мови.

1. Money ... as s means of accumulation. A. are used;

B. is used;

C. used.

2. ... money one must be assured that it is real.

1. receiving;

2. received;

3. receive.

3. People ... commodities with the aid of money.

1. are exchanged;

2. exchanged;

3. exchange.

4. To manage the economy ... to orientate people in a definite direction.

1. means;

2. by means of;

3. mean.

5. Relations between people ... upon the production and appro­priation of goods.

1. are depended;

2. depend;

3. depends.

6. Inflation … it possible to shift the burden of crisis onto the shoulders of the working people.

1. makes;

2. have made;

3. make.

7. As a means of circulation money ... to be real not ideal.

1. have;

2. are;

3. has.

YI. З підкреслених слів або словосполучень виберіть те, яке треба змінити, щоб речення відповідали граматичним нормам англійської мови.

1. Money serve as a means of circulation.

A B C

2. The value of commodities are measured by a certain amount of money.

A B C

3. Inflation is caused with disproportions in the economy.

A B C

4. Money can bye any commodity.

A B C

5. Inflation has became a major lever of exploitation.

A B C

6. Acts of sale and purchase are repeated much time.

A B C

7. Anyone receiving money must be assure that they will be accepted from him

A B C

too.