Unit 10. Monetary and Fiscal Policy
A. Read the extract from the article from the CNN Money website and complete it with the expressions listed.
| growth levels | effort | catch up | reversal |
| end product | synchronized | lift | structural |
| brainstorming | disagreement | fiscal and monetary | |
| stim | ulus | coordination | reforms |
A Patchwork Recovery
WEF panels say US economy looks set to recover, but...
(1) needed in Europe, Japan.New York (CNN/Money) — Most participants at the World Economic Forum’s annual meeting here believe the global economy will eventually recover, but many think it will be a patchwork recovery, unlike the ... (2) recession of 2001.
... (3) sessions and workshops Thursday and Friday produced a general consensus that US policy makers, particularly the Federal Reserve, had responded appropriately to last year’s recession. The world’s other large economies, however, need to ... (4).
Most participants thought the U.S. economy is set for a recovery, though there was some ... (5) about the size and strength of that recovery. Many expect a weak, slow recovery in the United States, and some even expect another ... (6) before sustainable growth returns. CEOs in the United States are among those most pessimistic, according to US Treasury Secretary Paul O’Neill, who spoke at a brainstorming session Thursday.
O’Neill pointed to strong productivity growth as contributing to strong economic growth in the United States and the world. Other economists believe aggressive ... (7), combined with low oil prices, will boost the US economy.
There was disagreement about whether or not a coordinated policy ...
(8), similar to the one that came immediately after the Sept. 11 terrorist attack, was necessary to ... (9) the global economy. But there was a consensus that Europe needs structural reforms before it can reach sustainable ...- and that Japan needs serious reforms before it can even stop its recession.
U1 do think there is a need for ...(11) of economic policy, but this doesn’t mean that everybody has to do the same thing, and there has to be a recognition that if the individual houses are not in order, the ... (12) cannot be a good one,” French finance minister Laurent Fabius said in a workshop Friday.
- After filling in the gaps read the extract once more and decide which of the statements are True and which are False and write T for True and F for False.
- European and Japanese economies are ready for recovering.
- Many participants consider that global economy recovery won’t be simultaneous and uniform.
- The actions of the Federal Reserve were generally approved at brainstorming sessions.
- Some economists believe that aggressive fiscal and monetary stimulus is everything that is needed for the boost of the economy.
- Coordinated policy effort is necessary to lift the global economy.
- Give Russian equivalents and make up your own sentences:
- non-transparent business practices;
- corporate accounting;
- access to world markets;
- recurring theme;
- to level the playing field for developing countries.
- Translate the following sentences into Russian.
- Though the United States apparently has its house more in order than Europe’s or Japan’s and is widely acknowledged as the locomotive pulling the rest of the world behind it, it should not be complacent.
- In fact, there are some similarities between the problems that have befallen Enron, Global Crossing and other US companies and the problems underlying the Asian financial crisis of 1997-1998.
- “There was a very strong moralistic streak from the advanced countries, and the United States in particular,” Krugman recalled of the debate surrounding the Asian crisis.
- Horst Kohler, managing director of the International Monetary Fund, also drew applause when he called for an end to agricultural subsidies in the United States and Europe that hurt developing countries.
- “I hope this Doha process is not a process where the two elephants, Europe and the United States, make a deal, and in the end, the developing world is left out,” he said.
- Render the extract from the article using the active vocabulary.
За последние два года действия правительства президента Владимира Путина, агрессивно проводившего реформы во многих областях, в том числе налоговую, земельную, пенсионную, судебную и трудовую, превзошли даже самые оптимистичные ожидания. Самым слабым звеном в цепи реформ оставался банковский сектор.
Без радикальных изменений, которые бы трансформировали систему приоритетов в этой сфере экономики, российский банковский сектор будет создавать угрозу стабильному долгосрочному экономическому росту. На прошлой неделе Путин отправил в отставку главу Центрального банка России, что является благоприятным сигналом.Замена Виктора Геращенко, работавшего главой Центрального банка с советских времен, на Сергея Игнатьева, первого заместителя министра финансов, свидетельствует о том, что банковская реформа не снята с повестки дня. Вчера новое назначение одобрила Госдума. Однако это лишь начало.
Бюрократический корпус ЦБ России, один из самых раздутых аппаратов среди центральных банков мира — это 86 ООО человек. Если этим людям дать возможность, они будут продолжать в советском стиле предпочитать форму содержанию. Геращенко испытывал извращенное чувство гордости, игнорируя регулирование банковского сектора (в 2000 г. он как-то раз даже гордо заявил, что не читал правительственную программу реформ, которая имеет отношение к банковскому сектору). Настроения среди бюрократов ЦБ не сулят ничего хорошего реформе банковского сектора.