Foregn trade

Foreign trade means the exchange of goods and services between na­tions, but speaking in strictly economic terms, international trade today is not between nations. It is between producers and consumers or be­tween producers in different parts of the globe.

International trade arises simply because countries differ in their de­mand for goods and in their ability to produce them. On the demand side, a country may be able to produce a particular good but not in the quantity it requires. The USA, for instance, is an importer of oil. On the other hand, Kuwait does not require all the oil she can produce.

On the supply side, resources are not evenly distributed throughout the world. One country may have an abundance of land; another may have unskilled labour. Capital, oil, mineral deposits, cheap unskilled la­bour and a tropical climate are the factors possessed by different coun­tries in varying amounts.

Nor can these factors be transferred easily from one country to an­other. Climate, land and mineral deposits are obviously specific. Labour is far more immobile internationally than within its own national bound­aries. Capital, too, moves less easily, exchange controls, political risks and simply ignorance of possibilities may prevent investors from moving funds abroad.

Because factors are difficult to shift, the alternative — moving goods made by those factors - is adopted. What happens is that countries speci­alise in producing those goods in which they have the greatest comparative advantage, exchanging them for the goods of other countries.

In 1776, the Scottish economist Adam Smith in "The Wealth of Na­tions" proposed that specialization in production leads to increased out­put and it is necessary that a country's scarce resources be allocated effi­ciently. According to Smith's theory, it is essential that a country trading internationally should specialize in those goods in which it has an absolute advantage.

International trade enables a nation to specialize in those goods it can produce most cheaply and efficiently. It is one of the greatest advantages Of trade. Trade also enables a country to consume more than it can pro­duce if it depends only on its own resources. Finally, trade expands the potential market for the goods of a particular economy. Trade has always been the major force behind the economic relations among nations. In­ternational trade began to assume its present form with the establishment Of nation-states in the 17th and 18th centuries.

Answer the questions:

1. Why do countries have to exchange goods and services?

2. What resources are important for a country’s trade?

3. Who noticed that specialization in production means increased output?

4. Name A. Smith’s work on economics.

5. What is the significance (значение) of international trade?

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

1. обмен

2. товары и услуги

3. дешевый

4. неквалифицированный труд

5. специализироваться на производстве товаров

6. дешево

7. эффективно

8. потенциальный рынок

9. потреблять

10. перемещение средств за границу

11. национальные границы

12. потребители

13. очевидно

14. по всему миру

Задание 3. Обобщите информацию из текстов в 6-8 предложениях.

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. The report on the issue will be made by Mr.Panin, head of the Staff Department.

2. The letter head identifies the company, presents the company logo and gives the name and address of the company, telephone/fax numbers, telex, e-mail and web site address.

3. Where the position of the addressee is known, use the official title, e.g.: The Sales Manager.

4. A separate account is opened to record the repayments as they are made.

5. While the teacher was explaining the rule that student was looking out of the window.

6. They have signed the contract for delivery of equipment.

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

1. Might I just make one point? True, the report makes much to be desired.

2. I can’t say I disagree entirely. But in my opinion the report is superficial. It doesn’t contain specific proposals on how we should change our work.

3. I hope that we could reach some decision today before we call up the general meeting of the staff.

4. For companies registered in the United Kingdom with limited liability the word Limited (Ltd) or Public Limited Company (Plc) must follow the name. In the United States, companies formed with limited liability use the word Inc. (Incorporated).

5. If a businessman cannot keep the appointment, his counterpart must be notified in advance and a new date should be fixed.

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

1. Having completed the construction of the plant, the company announced about it.

2. While performing the task, the students used dictionaries.

3. Foreign competition is becoming extremely important in many industries, stimulating our companies to work better.

4. GDP may be calculated in three ways: by adding up the value of all goods and services produced, by the expenditure on goods and services at the time of sale, or by adding up producer’s incomes from the sale of goods or services..

ВАРИАНТ 4

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

Active vocabulary:

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MONEY AND CURRENCES
What is money?

Societies with a low level of specialisation or which generate little have little need for money. They may trade their surplus goods by barter, that is the direct exchange of one good or service for another. The system works well if the range of goods and services to be exchanged is limited and the number of transactions undertaken is relatively small. The main problem with barter is finding somebody who has what you want and is willing to accept what you have to offer in exchange for it.

Societies use money for most of their commercial transactions. Mon­ey any good that fulfils the following functions. Money is:

1) a medium of exchange;

2) a store of value;

3) a unit of account. When the value of goods and services is expressed in monetary terms it is possible to compare the value of very dif­ferent goods.

If the value of goods and services can be measured in money, then the amount owing can be agreed upon and a future date for payment can be fixed. It is this function of money that makes the purchase of goods and Services on credit possible.