1. Progress text (15 April) Units covered by the 1st progress test: The Business Cycle (causes, Keynesianism and monetarism, graph description) Trade (retail, wholesale, e-commerce, international trade, free trade & protectionism, EU) Banking (types of banks, banking services, microfinance, central banking, monetary policy, crisis of credit) + language of meetings REPORT WRITING TASK

2. Describing graphs Revision: verbs, nouns, adverbs, adjectives Translate: 1) U ožujku je vrijednost dionica naglo pala. 2) Prihod je potonuo ispod 1.000.000 EUR. 3) Cijene zlata dosegle su najnižu točku 2010. 4) Očekujemo skok cijena nafte. 5) Porezi su postupno rasli. 6) Zabilježili smo dramatičan uzlet cijena nekretnina.

3. Stock value suddenly DROPPED in March. In March the value of stocks FELL rapidly. The revenue SANK below EUR 1.000.000. The revenue PLUNGED below EUR 1.000.000. Gold prices REACHED the trough in 2010. Gold prices BOTTOMED OUT in 2010. We are expecting a JUMP / a SURGE in oil prices. Taxes DROPPED / FELL / DECREASED gradually. We recorded a dramatic SURGE in real estate prices.

4. Describing graphs PREPOSITIONS, RB, 33-34 Exercises I & II

5. Describing movements and prepositions to rise ______ 2 h ___ 5 h to increase _____ 35 % (verb + ?) a decrease ____ 10 % (noun + ?) an increase ____ 15% to decrease ____ 46% to fall _____ 20 % ____ 13 % to fall ____ $3 h ___ $2 h The company expects a 5% increase ___ sales. Sales stood ___ $1 m ___ 1998. The sales figures peaked ___ $1,000. from to by of by from to from to in at in at

6. Describing movements and prepositions to rise from 2 h to 5 h to increase by 35 % / by 3 (from 2 to 5) an increase of 15% a decrease of 10 % to decrease by 46% / by 2 (from 10 to 8) to fall from 20 % to 13 % to fall from $3 h to $2 h The company expects a 5% increase in sales. Sales stood at $1 m in 1998. The sales figures peaked at $1,000. Careful: rast od 5% je an increase of 5% noun + of porasti za 5% nije to increase for 5% nego: to increase by verb + by

7. Prepositions:TO, OF, BY, FROM, IN, AT It will rise.... $5 and go.... $20. The price is stable.... 15$. This is an increase.... $5... the price. This is a $5 rise.... the price. Sales have grown... 2%.

8. Prepositions: TO, OF, BY, FROM, IN, AT It will rise BY $5 and go TO $20. The price is stable AT 15$. This is an increase OF $5 IN the price. This is a $5 rise IN the price. Sales have grown BY 2%. HW: RB, p 34, exercise III

9. Time prepositions onon Monday, on 23 March 2012 inin August / in winter in the morning in 2006 in an hour atat half past nine at night at the weekend sincesince 1980 forfor 2 years ago2 years ago beforebefore 2004 to / till / untilfrom Monday to/till Friday till / untilHe is on holiday until Friday. byI will be back by 6 o’clock. By 11 o'clock, I had read five pages.

10. Home assignments Report (task 3) – few students submitted hw HW for Tue (7 April): Report – task 4 (RB, p 26)

11. RB, p 58 BANK STATEMENTS Do you get bank statements from your bank? Do you know anyone (adult) who has no bank account? What are the benefits of having a bank account? What are the drawbacks of not having one? How many people in the world have no access to banking/financial services? (the unbanked or the underbanked) Access to finance varies greatly between countries: ca 5 % in Papua New Guinea and Tanzania 100 % in the Netherlands

12. MICROFINANCE -providing financial services to low-income clients Is that a good idea in your opinion? Have you heard of some specific examples? Muhammad Yunus (Grameen bank)? Learn more about the first microfinance initiative: http://www.grameen-info.org/index.php?option=com_content&task=view&id=210&Itemid=536 http://www.grameen-info.org/index.php?option=com_content&task=view&id=210&Itemid=536 → MK, p 76 Listening Get ready to answer the questions.

13. 1Social ____________ - a group of people who... 2Making _________ to.... 3Because the bank makes _______ loans to a ________ number of people, which ____________ the risk. 4Because it has been shown that.... Microfinance can be a part of normal.... 5A_________, L_______ A_______ and A_____

14. Listening cont. Listen for terms defined below: Assets promised by a borrower to a lender if the borrower cannot repay the loan. The managing of investments in ways that produce as much profit as possible while limiting the danger of losses. Reducing risk by investing in a variety of assets / lending money to large number of people. collateral risk management (tool) risk diversification

15. COLLATERAL Assets promised by a borrower to a lender if the borrower cannot repay the loan – collateral Eg. The firm went bankrupt, and because he had used his two homes as collateral when he borrowed money for the company, he lost almost everything he owned. Synonym: security Eg. Mortgage is a loan, usually to buy property, which serves as a security for the loan. secured credit vs. unsecured credit In the majority of bankruptcies, secured credit is repaid before unsecured credit.

16. Next time: Central banks & monetary policy Get ready for the next class RB, p 62: -review the functions of the central bank -make sure you understand the words/concepts in the box -read the excerpt from Schiller’s Essentials of Economics HW: RB, p 62: tasks 1, 2 & 3