The mercantilists

As monetary systems became established, nations began to trade goods on the basis of monetary value. Between the 16th and 18th centuries, En­gland, France, and other major countries of Europe believed in the eco­nomic theory of mercantilism. Mercantilists argued that nations should behave as if they were merchants competing with one another for profit. Under this system, a nation's government strictly regulated economic af­fairs. Governments tried to keep labour and other production costs low, and exports high. In this way the nation could achieve what was called a "favourable balance of trade".

"Favourable balance of trade" described a situation in which exports exceeded imports. The excess, which was like profits to a merchant, would result in the nation's supply of gold and silver. The original mercantilists, such as John Law, a Scots financier, believed that nation's wealth and po­litical power came from its hoard of gold and silver.

To achieve favourable trade balances, many nations sought to acquire colonies, which served as markets for exports and as sources of raw materi­als and a market for its manufactured goods.

Today there are people who still argue that the country should promote a «favourable balance of trade», that the government should do what it can to restrict imports and promote exports. For that reason, they are of­ten described as neo-mercantilists or «new» mercantilists.

Answer the questions:

1. How did nations begin to trade?

2. What countries believed in the theory of mercantilism?

3. What did mercantilism argue?

4. What does a «favourable balance of trade» mean?

5. Who was among the original mercantilists?

6. Why did many countries seek to acquire colonies?

7. What should the government do to achieve a «favourable balance of
trade»?

8. What do they call present-day mercantilists?

Задание 2. Перепишите следующие слова и словосочетания и дайте их английские эквиваленты.

1. благоприятный

2. издержки на оплату рабочей силы

3. издержки производства

4. экспорт превышал импорт

5. богатство страны

6. товары

7. промышленные товары

8. денежная стоимость

9. крупные страны

10. торговый баланс

11. рынки экспортных товаров

12. экономические вопросы

13. конкурировать

14. избыток

15. ограничивать импорт

Задание 3. Перепишите следующие предложения. Определите, являются ли они истинными или ложными.

1. Nations started to trade goods in the 19th century.

2. Under the system of mercantilism governments did not regulate economic affairs.

3. Favourable balance of trade means that imports exceed exports.

4. Governments tried to keep labour and other production costs high.

5. Governments tried to keep exports low.

Задание 4. Перепишите следующие предложения, определите в каждом из них видо-временную форму и залог глагола(-ов)-сказуемого(-ых). Переведите предложения на русский язык.

1. In this connection the chairman reminded the members of the committee that it had been decided to draw up proposals on the issue and discuss them at a meeting.

2. Accounting information is used by managers, investors, and different groups in society, for example tax authorities, labour unions, local governments, financial analysts etc.

3. People on low incomes sometimes take out loans, borrow money from banks.

4. In spite of the centuries of evolution the double-entry principle has remained the backbone of any accounting system.

5. Russia has been recognised as market economy lately.

Задание 5. Перепишите следующие предложения, подчеркните в каждом из них модальный глагол или его эквивалент. Переведите предложения на русский язык.

1. Accounting is the language of finance which all business decision-makers must understand.

2. They had to complete their work on Monday.

3. At the same time, however, one can’t deny the fact that the development of human society influences accounting and make designing accounting systems for new fields like «social accounting», «tax accounting», «green accounting» etc. a challenging task..

4. Auditors must have several years of approved experience and constantly upgrade their skills.

5. When your correspondent has a special title, such as Doctor, Professor, Sir, he is addressed by his title and Mr must not be used.

6. To be a borrower you must be a customer of the bank because the money will be lent to you through a bank account.

Задание 6. Перепишите следующие предложения, подчеркните причастия, определите их форму и функцию (определение или обстоятельство). Переведите предложения на русский язык.

1. One of the big problems facing the accounting profession is the necessity of rapid adaptation to the changes connected with the enormous growth of industry, the world globalization process and development of information technology.

2. By providing information to managers the accountant enables them to access their own performance, to make economic decisions and to devise ways to improve their efficiency.

3. The courtesy titles used in business correspondence are Mr, Mrs, Ms, Messrs.

4. A large portion of funds needed for start-up and expansion, however comes from entrepreneurs risking their personal savings or property.

Задание 7. Дополните следующие предложения так же, как в тексте «The mercantilists» и переведите их на русский язык.

1. As monetary systems became established,...

2. Mercantilists argued that nations should behave...

3. Under this system,...

4. Governments tried to keep labour...

5. In this way the nation could achieve...

6. «Favourable balance of trade» described a situation...

7. The excess, which was like profits to a merchant,...

8. To achieve favourable trade balance,...

9. Today there are people who still argue that...
10. For that reason,...

Задание 8. Обобщите информацию из текста «The market economy» в соответствии с данными темами:

1. The history of mercantilism.

2. The system of mercantilism.

3. «Favourable balance of trade».

4. The present day mercantilism.

ВАРИАНТ 3

Задание 1. Прочитайте текст и переведите его письменно. Ответьте на вопросы после текста письменно. Выучите слова (Active vocabulary).

Active vocabulary: