absolute     associate    average corruption

cycle define generation  natural disasters

shelter        trap

1. We … high crime rates with poverty and unemployment.

2. Having a … a roof over your head, is a basic need of humankind.

3. How does the dictionary … this word?

4. Floods, droughts, hurricanes and other … are happening more frequently.

5. Giving money secretly to judges or politicians so that they help you is an example of … .

6. Hunters will sometimes set a … instead of using a gun.

7. Let’s hope the next … finally put an end to hunger and poverty.

8. The world's water supply is a … which involves the sea, rainfall and rivers.

9. If somebody lives in … poverty, that means they are completely without money to buy basic necessities.

10. The … salary at that company is very high.

Now read the text again and answer the questions.

1. Poverty is...

A only found in developing countries.

В mostly in industrialised countries.

C found m both developing and industrialised countries

2. What number of people live in extreme poverty?

A three billion

В two billion

C one billion

3. How can relative poverty be explained?

A It takes into account that there are rich people.

B It's a kind of poverty found in industrialised countries.

C It's a kind of poverty only experienced in Britain.

4. What cause of poverty is not mentioned in the text?

A war

B lack of natural resources

C natural disasters

5. Why can't people escape from the poverty trap?

A Because they refuse to send their children to school.

B Because they need any income their children can earn.

C Because governments don't provide free education.

6. According to the text, why are countries often trapped in a poverty cycle?

A There is no money for investment.

B There are no schools.

C The land is not good for growing crops.

Macroeconomics

In the 1930s one of the world's strongest economies suffered a devastating collapse. It was the American economy, and the disaster was the Great Depression. The effects of the Great Depression were felt all around the world, and it brought about a change in economic thinking. Economists began to realise that looking at the behaviour of individual consumers and suppliers in the economy was not enough. Economists and governments had to understand how the whole economy worked. In other words, they had to have an understanding of macroeconomics.

Microeconomics looks at how the details of the economy work. Macroeconomics takes a few steps back and looks at the whole picture. While microeconomics looks at supply and demand for a single product or industry, macroeconomics follows supply and demand patterns for the whole economy. Whereas microeconomics is about economic events at home, macroeconomics looks at how the domestic economy interacts with the economics of other countries.

However, macroeconomics isn't only about knowing what's happening in the economy. After the shock of the Great Depression, governments realised that an economy needs to be managed. Most governments aim to have steady economic growth, to control inflation and to avoid recessions. Just managing an individual business is a hard enough task. How do you manage a whole economy? Governments have certain mechanisms which help them to do this.

The first of these mechanisms is fiscal policy. Fiscal policy refers to the tax system and to government spending. By increasing or decreasing the amount of tax people must pay, the government can affect how much money people have available to spend (disposable income). This, in turn, has an effect on demand in the market. By increasing or decreasing their own spending, governments can have a huge effect on the growth of the economy.

The second mechanism is monetary policy. With its monetary policy, a government sets interest rates and also controls the amount of money that circulates in the economy. The interest rate the government sets influences the rate that commercial banks set when they lend money to customers. Interest rates have a big impact on the economy. For example, they can affect people's decisions about saving or spending money.

The third mechanism is administrative approach. This is a range of things that governments do to increase the supply of goods and services to the economy but without increasing prices. There are a number of ways governments try to do this. For example, improvements in education and training can make the workforce more productive. Investment in technology can make industry more efficient. Governments can also change employment and business laws to make the market more competitive.

With a combination of these methods, governments try to steer or guide the economy on a steady and predictable path. They aim for gradual economic growth and to avoid disasters like the Great Depression.

Переведите на английский язык:

1. Разрушительным крахом для американской экономики стала Великая депрессия, воздействие которой ощущалось практически во всех странах мира. Депрессия изменила отношение к экономической науке.

2. После депрессии 1930-х годов главными целями любого правительства, во избежание серьёзных спадов в экономике, стали устойчивый экономический рост и контроль над инфляцией.

3. Налогово-бюджетная политика связана с налоговой системой и бюджетом страны. Посредством этой политики правительство может воздействовать на располагаемый доход, спрос и экономический рост.

4. Главным инструментом кредитно-денежной политики являются процентные ставки.

5. Совокупный спрос — это спрос в экономике в целом. Он включает спрос со стороны потребителей, компаний, правительства и потребителей за рубежом.

6. Стоимость всех услуг и товаров, произведённых экономикой в целом, образует реальный национальный продукт.

7. Тенденция роста или снижения предложения и совокупного предложения в краткосрочном периоде одинакова, но в долгосрочном периоде рост совокупного предложения зависит не от цены, а от имеющихся в экономике факторов производства.

Macroeconomics