Unit 1

1.consume (v) - потреблять, расходовать

consumer (n) - потребитель

consumer goods - товары широкого потребления

consumption (n) - потребление, расход

2.distribute (v) - распределять

distribution (n) - распределение

distributive (adj.) - распределительный

3.economize (v) - экономить

economics (n) - экономика

economy (n)- - экономика, народное хозяйство

economical (adj.) - экономный

economic (adj.) -экономический

economic control - экономический контроль

economic freedom - экономическая свобода

economic goods - товары народного хозяйства economic organization - экономическая организация

economic interest - экономический интерес

economic institutions - экономические институты economic process - экономический процесс

economic system - экономическая система

4.produce (v) - производить

producer (n) - производитель

production (n) - производство

productive (adj.) - производительный

productive forces - производительные силы

producing - производство

the means of producing - средства производства

the goal of producing - цель производства

TEXT 1

BASIC NOTIONS OF ECONOMICS

ECONOMICS as the STUDY of the ECONOMY

(A Skimming Reading)

"Economics is a science that studies the economy of the economic system" (Prasad K. N.)

"It is the science of a certain form of organization of human activities" (Knight F. N.).

Many other definitions have been offered for economics. Most focus on either the problems that economists usually deal with or the methods that economists use in dealing with these problems. So, economics can be defined as "the social science concerned with the problem of using or administrating scarce resources (the means of producing) so as to attain the greatest or maximum fulfillment of society's unlimited wants (the goal of producing)" (Prasad K. N.).

Economy

The word "economy" signifies "organization" of people engaged in their main occupation of making a living" (Bain J. S.).

It is that social organization by means of which men satisfy their wants for scares goods and services. It is the sum of actions which make the satisfaction of wants possible" (Cassels J. M.).

"It is a system in which goods and services are produced with the ultimate object of satisfying human wants" (Stone R.).

The economic system

The economic system is the whole system of economic institutions by means of which society provides for the productions and distributions of economic goods. It is the arrangements society uses to make and enforce decisions relating to production and consumption, distribution and exchange (Prasad K. N.).

What constitutes the economic system?

The institutes designed to produce and distribute the things we want in the manner we finally decide upon constitute the economic system (Cicarelly J.). Resources (land, labour, capital, and organizations), participants (households, firms, government), process elements (information, incentives and decisions), and institutions (the market private property, the information system, etc.) constitute the economic system. (Holesovsky V.).

The economic system is a system of mutual exchanges between producers and consumers because producers and consumers are largely the same people. Alternatively, it is a cooperation of producers to satisfy the wants of consumers. (Hicks J.R.)

The economy of economic system of a country concerns its economic life under its given social system. National economy is the life of a nation. The activities of the members of which it is composed, acting either in their individual or in their corporate capacity.