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COMPREHENSION. Ex. 1.Decide which of the following statements are true

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Ex. 1.Decide which of the following statements are true. Correct the false ones. Expand the ideas with the information from the text or any other examples from your own experience.

1. An economic system is determined by the political system of a country.

2. There is hardly any pure type of economic system.

3. A market economy restricts individual initiative and has a lack of advanced goods, new technology, and growth.

4. In a market economy government can sometimes intervene to diminish market freedom.

5. The underground economy may be seen as an actualised free market economy.

6. A planned economy can serve rather individual than social ends.

7. Planners can always detect demand with sufficient accuracy.

8. Most of the major economies in the world today are actually mixed economies.

9. Parecon is considered as the fairest economic system.


Ex. 2.Having read the text above answer these questions in your own words.

1. What is an economic system? How is it related to a political system and ideology?

2. Are there any economies in the world that represent a pure type of an economic system?

3. What is the main principle of classifying economic systems?

4. What are the advantages and disadvantages of traditional economies? Where do such economies exist?

5. What are the advantages and disadvantages of planned (command) economies?

6. What are the advantages and disadvantages of market economies?

7. Why may the underground economy be seen as an actualised free market economy?

8. What are the advantages and disadvantages of mixed economies?

9. What do you think of parecon? Is it practicable?

10. What is the best kind of economic system?


Ex. 3. Which of the following expresses the purpose of the text best of all? Justify your choice.

1. The author wanted to show that parecon is the best economy.

2. The main purpose of the text is to inform the reader about the advantages and disadvantages of socialism.

3. The purpose of the text is to give the reader some information about basic economic systems and to show their advantages and disadvantages.


Ex. 4. Give the main points of it in 8 – 12 sentences. You may use the following clichés:

The text … is devoted to (deals with) … . … are described. It is spoken in detail … . … is analyzed. Much attention is given to … . The author comes to the conclusion that … .

Ex. 5. Speak about the essences of different types of economic systems.


Ex. 6. Work in groups. Having read the descriptions of the main types of economic systems in the text, decide which economy is your country. Prove your ideas by the facts and examples from the mass media (newspapers, TV, the Internet, etc).

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