MATERI BAHSA INGGRIS I…. (Repaired)

MATERI BAHASA INGGRIS I
LESSON 1
A.
1. THE MEANING OF ECONOMICS (1)
A world in which no one has to work, in which all time is leisure time, in which
scarcity is unknown and nature lavishes upon man, without any effort on his part all the goods
and services that he could possibly wish for – that is a beautiful dream world for an afternoon
in May. But it is not the world in which we live.
The inescapable and inconvenient fact is that man has to work for a living. Nature
does supply him with various resources with which he can work: soil, minerals, water, air,
sunlight and wild animals and plants. But man must use at least a part of his time, energy and
knowledge to convert these resources into things capable of satisfying his desires ---food,
clothing, living quarter, house furnishings, medicine and a house of other things that can make
life more enjoyable.
Despite our sacrifice of leisure, we do not produce enough to satisfy all our wants.
Millions of people have too little food, clothing, shelter, and medical care to keep them healthy
and strong.
Other millions have little more than is necessary to maintain their health and strength.
Even those whose standard of living is comfortable above “the minimum standard of health and
decency” have many unsatisfied desires ; they want more leisure, better clothes, bigger house,
more autos, more travel, more books, more music, more plays, and many other things. In short,

we live in a world of scarcity.
Scarcity is not peculiar to our present society; it has always existed. Nor is there any
reason to believe that it will disappear in the future. No matter how much the productivity of
economic system may increase in the future, people’s desires will probably rise still faster, so
that scarcity will persist.
(Condensed from “A preface to economics”, Lester V. Chandler, Chapter I).
Scarcity

= kelangkaan

To lavish upon

= memberi dengan melimpah-limpah

Inescapable

= tidak dapat dihindarkan
1

To convert into

= merobah menjadi

Despite

= walaupun (ada)

A sacrifice

= pengorbanan

To maintain

= mempertahankan

Comfortable

= dengan senang

A play

= sandiwara

Peculiar

= disini : khusus

To persist

= here : to continue to be present (tetap ada)

Question:
1. How would you describe a dreamworld?
2. What does nature supply man with?
3. What must man do in order to make use of these resources?
4. Do we produce enough to satisfy all our want?
5. In what categories can you classify people?
6. What is the reason that scarcity will persist?
B. Complete the following sentences using the right group of words given under a) or b) or c).
1. A world in which no one has to work,

a) Is a dream world.
b) Is a world, in which leisure is not known.
c) Is a world in which nature does not give anything to man.
2. We cannot escape the fact.
a) That scarcity is unknown.
b) That we have to work for a living.
c) That the world we live in is a beautiful dream world.
3. Nature supplies man
a) With manufactured goods
b) With various resources like water, air, minerals.
c) With house furnishings, medicine, and clothing.
4. We do not produce enough ,
2

a) Because we have a great deal of desires.
b) Although we have to sacrifice much leisure.
c) Although all our wants are satisfied.
5. Millions of people all over the world, the greater part of mankind
a) Have everything to live “comfortably above the minimum standards of health and
desires”.

b) Have many unsatisfied desires.,
c) Do not need any more books, clothes, motor-cars
6. There is all reason to believe
a) That scarcity will disappear in the near future.
b) That people’s desires will diminish.
c) That scarcity will persist.
C. Time : Corresponding adjectives :
1. Timely (pada waktunya)
- Timely help often comes in the nick of time – (tepat pada waktunya) .
2.

Temporary (untuk sementara)
- Any help, but of a temporary nature, was out of the question-(Perbantuan,
kecuali untuk sementara, sama sekali tidak mungkin).

Leisure:

= free time, time at one’s disposal. (waktu yang terluang, yang tersedia).
-

In my leisure time = in my spare time –

-

He is at leisure = he is not occupied, he is without hurry –

To work (hard) = to labour, to toil (bekerja keras ).
-

He work ten hours at a stretch – (dia bekerja sepuluh jam terus menerus). He
labored (toiled) from morning till night.

-

You are laboring under a mistake – (anda melakukan sesuatu yang keliru).
Corresponding nouns : work, toil and labour.

-

He was sentenced to five years hard labour – (Dia dijatuhi hukuman kerja

paksa selama lima tahun).
The substantive works is a plural word with a singular construction.
3

strength :

-

The owner of an iron-works, a glass-work. (pabrik besi,pabrik gelas).

-

The works will be closed from 1st October –

-

A works = a factory, a mill –

Corresponding adjective : strong.
Synonyms o strong : vigorous, robust.

Vigorous expresses activity in mind or body.
-

Mr. Taylor was a tall, vigorous man in the prime of this life – (Tuan Taylor
adalah orang yang tinggi kuat dan muda usianya )
Robust denotes great bodily strength.

-

The two brothers were tall, robust fellows, looking extremely martial with
their black velvet caps and red jackets –
(kedua kakak beradik itu besar dan kuat, yang kelihatannya gagah berani
dengan kupiyah beluredu hitam dan jas merah )

Strong is the usual term: it has the widest meaning.
Corr. Verb : to strengthen (memperkuat) the opposite of strong is weak. (Corr.
Verb

:

weaken,
corr.

to
---

Noun:

weakness) .
Synonyms of weak : feeble, faint.
-

A weak old man, a weak eyesight, a weak mind, a weak apology – (seorang
laki-laki tua yang lemah, daya pengliahatan yang lemah, ingatan yang lemah,
permintaan maaf yang lemah ).

-

Feeble attempts; he is in a feeble state of health; I heard a feeble cry –

-

A faint little light; he is faint with hunger; a faint hope – (cahaya lemah; ia
lemah karena lapar; harapan tipis).

To increase - to become greater, to grow in numbers, to make greater (bertambah, menambah).

4

The opposite of to increase is decrease. To decrease = to diminish gradually
(berkurang atau mengurangi setingkat demi setingkat).
I want to decrease my costs (mengurangi) Costs have decreaced (berkurang).
Corresponding nouns : the increase = the growth, the enlargement,(pertumbuhan,
penambahan). The decrease = the lessening (pengurangan)

2. THE MEANING OG ECONOMICS (2)
A.
Economics would have no place in a world in which everything was freely
available without limit and without work. It exists because of the fact of scarcity. The
word,, Economics “was derived from the word ,, economic”, which in turn was derived

from a with regard to household expenses.
The meaning of economy has by now become generalized to include all carefyll
management of resources. The verb “to economize” means,, to arrange, to constitute, to
organize.”
Human wants are so great that careful or prudent management must be exercised
if a maximum of satisfaction is to be achieved. No we must determine which of our almost
limitless wants are to be satisfied, and extend to which each is to be satisfied.
Shall we have more food and less of other things? More clothing ? And less of
other things ? More leisure and less of other things ? We cannot have all we want oh
everything.
In the second place we must utilize our limited quantities of human energy, time ,
knowledge, natural resources and capital as effectively as possible in order to satisfy our
wants to the maximum possible extent.
In the third place, we must determine whose wants will be satisfied and in what
proportions; that is, we must distribute or divide the available goods and services among the
various members of the community.
These are the basic problem of economics.
We may say then, that economics is a study of the process of making a living, and
the problem of economics are those arising from the fact of scarcity.
5

(Condensed from “A preface to economics”, Lester P. Chandler, Chapter I).
To be available

= terdapat

To be derived from

= berasal dari

Management

= disini : pengaturan

To constitute

= disini : menyusun, mengorganiser

Limitless

= tanpa batas

The extent to which

= sampai mana

To the maximum
Possible extent

= disini : sebanyak mungkin

Proportion (s)

= perbandingan

Questions:
1. Why does economics exist?
2. What does the word “economic” mean?
3. Why do we have to exercise careful or prudent management?
4. There are three things to be thought of in economics. Find the three paragraphs in the
text relating to these basic problems!
B. Complete the following sentences using the right group words mentioned under a) or b) or c)
1. The scientist of economics exists
a. In a word where everything is available
b. Because goods are not to be had freely and without limit
c. Because careful management of resources is unnecessary
2. Careful management should be exercised
a. Because human wants are unlimited
b. Because no satisfaction is required
c. Because human wants are strictly limited
3. We have to make up our mind in order
a. To satisfy all unlimited wants, because we can have all we want of everything
b. To find out which wants have to be satisfied and to what extent each should be
satisfied.
6

c. Not to satisfy any human want
4. In order to satisfy our wants to the maximum possible extent
a. We must leave all available resources untouched
b. We must avail ourselves of all natural resources, all human energy and capital in the
most effective way.
c. We must utilize all natural resources, all human energy and all capital
indiscriminately
5. When we divide the available goods among the members of the community
a. We know that everybody will have all he wants of everything
b. We have at our disposal unlimited natural resources
c. We have to determine whose wants will be satisfied and in what proportions.
C. House :
Meaning of house :
1. Building for human habitation (gedung untuk didiami manusia)
–

A cabin a very small house –
Synonym of cabin : cottage, hovel, hut

2. Building used by an assembly (gedung dipakai oleh sidang)
–

We know of the house of commons, he house of lords, the house of
parliament –

3. Family, Dynasty
The house of Windsor = the British Royal family
Careful. Synonyms : cautious, prudent (berhati-hati)
Careful is ordinary term.
–

I am careful of my books –

–

We are careful to avoid danger –

–

We are cautious not to offend him – (kami berhati-hati supaya tidak
menghinanya)

The opposite is careless (or imprudent)
–

Careless talk – (= imprudent)

–

He has been very careless in his work – (= inaccurate) (dia sangat tidak teliti
dalampekerjaannya)
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To take care of (memelihara)
–

Will you take care of my books? –

–

A caretaker is a person hired to take charge, esp, of a house in the owner’s
absence – (seorang pengurus adalah seoarang yang disewa untuk memelihara –
khususnya sebuah rumah jika si pemilik tidak ada)

To achieve = to accomplish, to reach (an end) = mencapai (suatu tujuan)
Corr. Nouns : achievement, accomplishment = hasil
–

They told us of their adventures and achievements –

Less is tehe comparative of a adjective little
Little – less – least (sedikit – lebih sedikit – paling sedikit)
–

There is a little sugar left in the sugar pot –

–

She has to eat less meat – (dia harus makan daging lebih sedikit)

–

To follow the line of the least resistance – (mengambil jlaan yang paling kecil)

There is a form lesser which is used in a few expressions and in the meaning minor.
(Second rate = tingkat yang paling rendah)
unakan The lesser of two evils (kejahatan yang lebih ringan)
The lesser bear (- name of a star)
Available = at one’s disposal, within one’s reach :
(Yang dapat dipergunakan, yang dapat didapatkan)
–

Everything was freely available –

–

The tickets were available at the office –

Verb : to avail oneself of = to profit by, to take advantage of. \
(mendapat keuntungan dari, mempergunakan sesuatu)
–

To avail oneself of an opportunity (= mempergunakan kesempatan)

8

LESSON 2
A. Read the following text carefully :
The basic problem of economics
Economics would have no place in a world in which everything was freely
available without limit and without work. It exists because of the fact of scarcity.
Human wants are so great that careful or prudent management must be exercised
if a maximum of satisfaction is to be achieved. No we must determine which of our almost
limitless wants are to be satisfied, and extend to which each is to be satisfied. Shall we have
more food and less of other things? More clothing ? And less of other things? More leisure
and less of other things? We cannot have all we want oh everything.
In the second place we must utilize our limited quantities of human energy, time ,
knowledge, natural resources and capital as effectively as possible in order to satisfy our
wants to the maximum possible extent.
In the third place, we must determine whose wants will be satisfied and in what
proportions; that is, we must distribute or divide the available goods and services among the
various members of the community.
These are the basic problem of economics.
We may say then, that economics is a study of the process of making a living, and
the problem of economics are those arising from the fact of scarcity.
(Condensed from “A preface to economics”, Lester P. Chandler, Chapter I).
Vocabulary
To be available – terdapat

to determine – menentukan

Management

– disini : pengaturan

to distribute

– menyalurkan

To exercise

– melakukan

to divide

– membagi-bagi

To achieve

– mencapai

to arise from – muncul dari

To utilize

– mempergunakan

Resources

– sumber-sumber

Limited

– terbatas

Effectively

– secara efektif

B. Complete the following sentences using the right group words.
9

1. The science of economics exists
a. In a word where everything is available
b. Because of the fact scarcity
c. Because careful management of resources is unnecessary
2. Careful management should be exercised
a. Because human wants are unlimited
b. Because no satisfaction is required
c. Because human wants are strictly limited
3. In order to exercise careful management of resources
a. We must try to get all we want of everything
b. We must decide which of our wants are the most essential to us
c. We must have less food than clothing
4. In satisfying as many of our want as possible
a. We must leave all available resources untouched
b.

We must use all natural resources, human energy and capital as effectively as we
can

c. We must use up all natural resources, human energy, capital
5. When we divide the available goods among the member of the community
a. We know that everybody will have all he wants of everything
b. We have at our disposal unlimited natural resources
c. We have to determine who is to benefit most from the distribution of goods
C. Answer the following question in English
1. Why does economics exist?
2. Why do we have to exercise careful management?
3. Why cannot we satisfy all our wants? (line 9)
4. There are three things to be thought of in economics; find three paragraphs in the text
relating to be basic problems of economics.
5. Explain the word ‘sacrcity’
D. Say whether the following statement are true (T) or false (F). if they are false say why.
1. We do not need the science of economics in this word

(

)

2. Man easily satisfies all his needs and wants

(

)
10

3. We need not choose which of our wants to satisfy

(

)

4. Human energy, time, knowledge and natural resources should be utilized in the most
effectively way

(

)

5. Determining whose wants will be satisfied is one of the many basic problems of
economics

(

)

EXERCISES
1. Supply an article (the or a or an ) tn these sentences where necessary :
a. I am having . . . breakfast . . . at seven o’clock in . . . morning, and . . . lunch at one
o’clock in . . . afternoon
b. I relax by watching . . . films
c. . . . films we watched last week at . . . French Cultural Centre were quite good.
d. We wanted . . . lawn in front of our house to look fresh an shady, and we planted . . .
tree in one of . . . corners of the garden.
e. Although I like . . . music very much, I hate to be awakened in the morning by Elvis
Presley’s rock and roll.
f. There are . . . a lot of . . . at the bus-stop waiting for . . . bus going in . . . direction
Kemang.
g.

We went to watch … tennis-game at Senayan; . . . match ended at five o’clock in . . .
afternoon.

h. Last week Irma received . . . letter from her uncle in …. United States; he told her in …
letter that he would be coming to meet her on . . . island of Bali.
i. ….. new school was built for . . . people in . . . harbor of Tanjung Karang , since . . .
old school was on …. Point of falling down.
j. …. prices of ….. commodities are affected by …. Supply and …. demand.
k.

….. beauty of …. Lake Toba is breathtaking.

l. …. man is mortal.
m. Is it true that society consist of ….haves and ….have-nots ?
n. ……chairs are useful for sitting on.
o. …..garden is …..place to relax in when one is tired.
p. Here is ….information for you asked for.
q. …..news can be good or bad.
11

r. …..market is commonly thought of as …place where commodities are bought and sold.
2. We have used the world ‘economics’ several times.
e.g. ‘Economics would have no place …. etc.’
Six other words can be formed from the word economics, namely:
‘to economize, economist, economy, economic, economical, and economically’.
Each word has a different use; try to put the right word in the blanks in these sentences.
You may have to use the word ‘economics’ as well.
a. BAPPENAS is an institution in Jakarta, where ……..s work out economics problems.
b. ‘Labour’ in the ……..sense means all human effort used in the process of production.
c. We all have to spend our earnings ……..
d. …….. is a science, and it should be studied in an objective and scientific way.
e. The woman tried hard to be an …….. housewife.
f. If I want to have beautiful clothes, I have to…….. on other things.
g. The economics system of a country is usually called the national……..
3. Change the following sentences in order to use ‘unless’.
e.g. I will accompany you if you come to fetch me.
I won’t accompany you unless you come to fetch me.
a) It is almost impossible to plough, to transport goods and people, to separate materials
and to shape them if there is no power to perform these function.
b) We shall not produce enough to satisfy our needs if they do not sacrifice a great part of
our leisure time.
c) These people will not earn more money if they do not work regularly and well.
d) The garage owner won’t provide any extra services if you do not buy your car at his
garage. f. We won’t have a healthy national economy if it is not planned ahead over a
number of years.
e) You won’t finish your home-work today if you do not begin right away.
f) We won’t have a healthy national economy if it is not planned a head over a number of
years.
4. Find single words or phrases in the text for which these words could be substituted.
12

Paragraph 1.

a. essential

b. question

d. could be obtained
Paragraph 2.

f. prudent

c. room

e. labour
g. to reach

h. determine
l. desires

i. a smaller number
Paragraph 3.

j. use

k. amount

Paragraph 4.

m. allot

n. society

Paragraph 5.

o. earning a livelihood

p. result from

5. Make the following adjective negative by adding a prefix (un-, im , in-, ir-, il)
a. satisfactory

b. economical

c. productive

d. reliable

e. necessary

f. desirable

g. capable

h. avoidable

i. dependent

j. convenient

k. rational

l. legal

m. possible

n. complete

6. Use the appropriate adjective in their negative forms in these sentences.
The letters in brackets in the end refer to the list of adjective above.
I am afraid you have to deal with an……. merchant (d).
It is …….. to spend so much money on clothes (e).
Quarrels between two people who are so different from each other are …….. (h).
Our motor-car is……., because it uses too much gasoline (b).
You will find it ……..to recognize the man in the crowd (m).
We worked hard, but he result were still …….. (a).
The crook was involved In …….. businesses (l).
Your arguments don’t make sense to me; they are ……. (k).
His enterprise became increasingly …….. until he family went bankrupt (c).
A businessman finds it very …….. living in Cilandak, one of the suburbs of Jakarta,
without a car (j).
The ……… grocer is rapidly disappearing from American scene (i).
The headmaster is too severe, he will be …….. of understanding this difficult child (d).
…….. elements will be sent away at once (f).
You have given me an …….. list on persons present; Mr. Ali isn’t on it (n).
13

E. Translate the following text into Indonesian.
Primary Economic Problems
For most of us the goods we possess and the means of acquiring more are strictly
limited. This means that if we acquire a commodity or receive a service we must be content
with less of something else which might have been obtained by the same effort or
expenditure. There is the problem of determining which goods and services will give us the
greatest satisfaction. This is an economic problem both for us as individuals and for society
as whole.
We shall always have to deal with the primary economic problem of the
production of wealth, the consumption of wealth, and the distribution of wealth. No
economic or political system will wipe them away. Communism, Socialism, and Fascism
are different attempts to provide a solution to these problems, but none of these system will
in practice eliminate
Vocabulary
a means

- alat

to wipe away

primary

-dasar

wealth

to acquire

-mendapatkan

different attempt - usaha-usaha yag berbeda-beda

content

-puas

-menghapus
-kekayaan

effort (noun)

expenditure

-pengeluaran to obtain

solution(noun)

-penyelesaian

-usaha
-mendapatkan

EXERCISES
6. Mark the main stress in each of these words.
Economy

economic

economics

economical (ly)

Geography geographical geology

geological

Ecology

ecological

mathematics

Method

methodical

science

scientific

Ideology

ideological

problem

problematic
14

Policy

political

system

systematic

Capital

capitalistic

commune

communistic

N.B.
We say: ‘Arabic, ‘politic, ‘lunatic, a’rithmetic.
7. Use the right tense in the following sentences
a. Economic (have) no place in a world in which everything is available.
b. Law (relate) to economic conditions are sometimes concerned with worker’s health.
c. The government (use) stricter method if it had know of the strike before
d. If citizens (be) completely free, some land-owners might build factories in
unsuitable places
e. If you (come) earlier, you might have found your boss still working in his office.
f. I (sell) you the commodity, if you give me a suitable price
g. These people will never be capable of (satisfy) their wants, because they are too
ambitious.
h. Economic problem always (exist) from the moment people began to live in
communities.
i. Agricultural productivity (be) formerly so low that a very great part of the
population (have) to work on farms to produce their essential food.
j. Money (use) since the 2nd millennium.
8. Change the listed word and phrases into nouns.
e.g. economic – economist
a. possess

b. determining

c. great

d. know

e. political

f. to give

g. to eliminate
9. Use each of the following words in the blanks of the sentences. little, less, (the) fewest,
much, more,(the) most.
a. …. you could have done for the poor man was to give him some water.
b. I had so …. money with me that I could not afford a bus ride.
c. In certain quarters in Jakarta … and…. People dare to walk in the streets after
sundown for fear or being robbed.

15

d. I counted twenty student at …. …., the others were all members of the teaching
staff.
e. The … you know about him the better; I don’t want you to be in his company.
f. We notice that there are …. Women ministers than before; the president prefers not
to restrict this field to male workers
g. Because of rising costs …. Money than had been expected was needed for the
operation of the plan.
h. Only a …. Of his friends were allowed to visit the patient after his serious illness.
i. The younger children in a big family usually get …… …… birthday present.
j. She had saved so …. Money that she bought herself a trip round the world.
10. Use of the Simple Present Tense and the Continuous Present Tense(continued)
a. Ships …. (travel) from Tg. Priok to Singapore in two or three days.
b. John …. (travel) to London to-tomorrow.
c. On my way to work I generally …. (meet) many children from my neighbourhood,
who ….. (go) to school.
d. What … you (read) when you are on vacation?
e. What … you (see)? I …. (look) sharply, but I cannot see anything.
f. “…. you …. (speak) English ?” “I only …. (use) a foreign language when I ….
(attend) a conference.
g. Iron …. (sink), but wood …. (float) on water.
h. I …. (work) on a problem at this moment and I ….. (think) that I ….. (know) how
to solve it.
i. My father ….. (like) rice, but my sister …. (like) bread.
j. We … (want) to buy some cake, because we…… (celebrate) mother’s birthday tomorrow
k. We …. (leave) for the hills at three to-day and…. (arrive) there about five. We
always …. (spend) our holidays there and ….. (sleep) nearly all the time.

16

LESSON 3
A. Read the following text carefully:
The Basis of Trade
Even in the most primitive societies the great majority of people satisfy a
large part of their material needs by exchanging goods and services. Very few people
indeed can make for themselves everything they need all their food, their clothes, their
housing and their tools. Ever since men started living in communities, they have been
satisfying their needs by means of specialization and exchange; increasingly each
individual has concentrated on what he or she can do best, and has produced more than he
can consume himself of these special goods or services. He has supplied other members of
the community with the surplus, and in exchange he has acquired the things he needs
which other have produced.
The more advanced the community, the more community, the more
complicated does the dual process of specialization and exchange become. In primitive
communities there will only be a few goods or services produced; they will be exchanged
by barter. In more sophisticated societies, the range became very much greater, and it
becomes necessary to have a special mechanism to regulate the exchange of goods and
services. This special mechanism we call ‘money’. And again, as society becomes more
complex, the types of money and the ways in which buyers and sellers are brought together
become more and more intricate, and so we have evolved the vast network of world trade
that exists today. But however complicated the system, the principle behind it is exactly the
same as it is in the primitive village community where some of the men hunt and other
fish, while the women weave cloth – and where these simple goods are exchanged so that
everybody has something to eat and something to wear.
(‘Britain Today, June 1974)
Vocabulary
To exchange : menukar

Complicated

: rumit

Tools

Complex

: rumit

: alat-alat

17

Indeed

: memang

Intricate

: rumit

Needs (noun) : keperluan

Only a few goods: hanya beberapa barang

By means of : dengan (melalui) jalan (cara)

Sophisticated: maju

Increasingly : secara meningkat

To evolve : mengmbangkan

To supply

: menyediakan, memberi

A network : jaringan

To acquire

: memperoleh

Complicated: bagaimana pun rumitnya

The more

: makin lebih

While to weave-wove: sedangkan

The more ….
Dual

Woven : menenun
: berganda

advanced: maju

B. Translate the text into Indonesian
C. Complete the following sentences by marking the right letter: a, b, or c.
1. In order to live
a. People, with the exception of those in primitive societies, have to trade.
b. All societies produce all their food, their clothes, their housing and their goods.
c. People in all societies
2. People have to trade,
a. Because they have to satisfy their materials needs.
b. Because they belong to the most primitive societies.
c. Because they produce all their own food, clothes, and tools
3. Satisfying one needs by means of specialization and exchange implies
a. That one consumes more than one produces.
b. An increasing concentration on the production of basic commodities.
c. Concentration on what one do best, and producing more than one consumers.
4. The dual process of specialization an exchange will be complicated
a. When only a few goods and service are produced.
b. When the range of goods and service is vast.
c. As soon as a special mechanism is used to regulate the exchange of goods and
services.
5. In the process of evolving the vast network of world trade existing today,
a. The special mechanism called money has become anything but valuable.
18

b. The system of specialization and exchange is most needed in the primitive village
community.
c. The types of money and exchange become more and more complicated.
D. Answer the following questions which are based on the text (A) by marking one of the
letters given below: a., b. or c.
1. Why does exchange take place?
a. Because people have to satisfy their material needs and they are unable to make for
themselves everything they needs.
b. Because primitive societies produce less than they can consume.
c. Because of the fact that only in advanced countries is there specialization.
2. What do people do with their surplus?
a. They consume their surplus goods in order to satisfy their material needs.
b. They use it to concentrate on the special goods and services they can do best.
c. They exchange their surplus goods with other members of society in order to obtain
the things they need.
3. How are sophisticated societies different from primitive societies?
a. In sophisticate societies the process of exchange and specialization is becoming less
and less complicate
b. In an advanced county a special mechanism is necessary for the exchange of goods
and service.
c. In a advanced community exchange takes place through barter.
4. Why has society introduced the use of money?
a. To regulate exchange when the range of goods and service produced develops to a
certain point.
b. To facilitate barter than the range of goods and services produced develops to a
certain point.
c. As a special mechanism to produce goods and services.
5. What is the principle behind world trade?
a. Limiting men to hunting and fishing and women to weaving cloth and doing the
cooking

19

b. Exchange only simple goods so that everybody has something to eat and something
to wear.
c. Exchanging goods and services, as a result of specialization.
E. Answer the following question which are based on the text (A) in your own words
1. Why do people have to trade? (lines 5-7)
2. What does ‘specialization’ means? (lines 7-8)
3. Why does exchange take place? (lines 10-11)
4. Why has society introduced the use of money? (lines 16-17)
5. What is the principle behind ‘world trade’? (lines 22-26)
F. Say whether the following statements which are based on the text (A) are true (T) or false
(F).
1. Ever since men started living in communities, they have been self sufficient (
2. Every individual consume more than he produces (

)

)

3. Specialization and exchange become less complicated as the community develops ( )
4. As people’s needs increase, a greater variety of goods and service is produced ( )
5. The principle underlying today’s trading system differs from that of primitive man()
EXERCISES
1. Make the following sentences passive; omit the agent phrase where necessary.
a. In an advanced society the great majority of people satisfy their material needs by
means of exchange and specialization. ( - agent)
b. In primitive society people only produce a few goods and services. ( - agent)
c. They exchange these goods and services by barter. ( - agent)
d. We have evolved the vast network of world trade exists today over many hundreds of
years. ( - agent )
e. Woman have always woven this cloth in a special way. (+ agent )
f. This special mechanism we call ‘money’. ( - agent )
g. The managing directors have produced additional tools for the workmen. ( + agent )
h. The government will give everybody something to eat and something to wear. ( +
agent)
2. Insert a suitable preposition in each of the blank in these sentences.
20

a. He is not concerned …. such trivial things.
b. He felt a need ….more comfort in this country house.
c.

Don’t you agree that we have to conform …. The law of the country in which the
live?

d. I am certain that there will be demand …. More electricity …. Jakarta.
e. The Russian economic system is based …. Communistic principle.
f. These figures show how much was spent …. Certain commodities.
g. Price have risen …. Indonesia since 1978.
h. There is a special relationship …. services…. The one hand, and a consumer and his
money …. the other.
i. Household goods and furniture belong …. A certain types …. Commodity.
j. The limitation of wage increases applies both … the public and…. The private sector
…. The national economy.
3. Below is a list of pronouns occurring in the text . Say what each pronoun refers to.
Example: their (line 3)
Answer: ‘their’ refers to ‘majority’ in line 2.
a. Themselves (line 4) b. they (line 4)
d. he (line 8)

e. she (line 8)

g. it (line 16)

h. it (line 22)

c. their (line 5)
f. they (line 14)
i. it (line 22)

4. Use a noun in each of the blank of these sentences. The noun is derived from a verb used in
the text. The line in which to find this verb is given in brackets
a. People often find …. In the work they do (2).
b. We have to determine which of our …. Should be satisfied first (4).
c. In Glodok, a commercial centre in Jakarta, there is a great …. Of Chinese merchant
(8).
d.
5. Fill in the blank in the following sentences using an adjective which you have derived from
the noun given in brackets.
a. A tractor is an …… implement (agriculture)
21

b. He is studying ……. science (politics)
c. The economic term GNP means Gross …… Product (nation).
d. Taxes are necessary to see that ….. services run smoothly (government).
e. An …..committee was set up in order to prepare the next meeting of the ASEAN
countries(office)
f. We did not count the …. Ekpenses (addiction).
g. ……. Commodities like rice, ect are cheap in Indonesia (essence)
h. The….. features of a country are important for its economic development (geography)
6. Use the correct tenses in the following passage on “Trade-associations”.
- A trade-associations, some times (call) an industrial institute, (be) an organization
through which many or all of sellers of the same commodity (unite) to promote their
common interests.
It (not engage) its self in the production or sale of goods, but (be) a medium of
communication for its members.
It (govern) by a board of directors (elect) by its members.
Its activities (administer) by a (salary) secretary and staff.
Although this movement (begin) only about 1912, the number of trade associations in the
United State already (increase) to more than 8,000.
There (be) few important industries in the USA without a trade associations of some kind.
7. Find single word in the text (A) for which these words could be substituted.
a. commerce (line 1)

b. communities (line 2)

c. instruments (line 5)

d. provided (line 10)

e. obtained (line 11)

f. backward (line 13)

g. advanced (line 15)

h. complicated (line 18, 19)

i. developed (lines 20,21)

j. precisely (line 22)

8. Use of the past tense and the present perfect tense. ( either simple or continuous)
e.g. Did you give the book to Jane yesterday
I have already written two novels so far.
a. I …. ( tell ) my little brother a story last night
22

b.

I …..(no see) the postman for week.

c. She …..(not speak) to me since last week.
d.

There ….. (not be) much rain in this area for months.

e.

I …..(look for) my dictionary all day, but I …. (not find) it yet.

f.

The Indonesian republic…… (be founded) in 1945

g.

Columbus ….. (discover) America in 1492.

h. the bus ….. (start) while I was getting in.
i. my brother finally …… (finish) his studies in political science.
j. the prices of cosmetics ….. (rise) sharply in the last ten years.
k.

“….. you (wait) long for me?”
“ No, I …. (arrive) two minutes ago ”

l.

ever since men ….. (start) living in communities, they ….. (satisfy) their needs by
means of specialization and exchange.

m. only a small minority of the population ….. (live) in town before the agricultural
revolution arrived.
n. We cannot Deny the fact that the Industrial Revolution ….. (have) a great effect on
people’s productivity.
o. How long …… you (deal) with this unreliable merchant?
p.

How many words of English ….. you (be taught ) since the begging of this semester?

q.

When I went out the sun …… (shine)

r.

The lights went out when we …. (have) dinner.

23

LESSON 4

A. Read the following text carefully.
What is a Consumer Society?
Human beings and animal too, consume to live.
Food, and shelter too, are the basic needs we all share. All living things need food, so in one
sense all living things are consumers. The earliest men hunted animals for food and used their
skins for clothing. They found shelter in caves, or built dwellings from the natural materials
around them, Such as wood, mud, or block of snow. They made fires from wood and animal fat.
As communities became more settled and prosperous, it was easier to provide for the basic
needs. So people had time to become more inventive and wants were added to needs. A woman
doesn’t need a necklace, a child doesn’t need a toy, but a want, once satisfied, quickly become a
need through habit. An American would claim he needed a car. Most housewives in Europe
today would say they needed an electric cooker and a refrigerator.
Most housewives in Europe today would say they needed a refrigerator.
The great difference between societies today in the developed countries of the world and highly
civilized ones in past ages is that far more people are able to satisfy their wants, instead of only
a privileged few. In Britain or the USA, the majority of people have a car and a refrigerator
and can afford holidays abroad. We call this mass consumption. Societies in which this kind of
living is possible are called consumer societies. In consumer societies the majority of people
work and earn money, producing goods which they will then buy with the money they have
earned.
In the USSR and other communist countries mass consumption is rigidly controlled by the
government. The aim behind this control is to share all wealth equally amongst everyone. In
underdeveloped countries – for example in Africa and Asia – there are still millions who are
lucky if they can satisfy even their basic needs. Even within consumer societies many cannot
afford more than a poor diet, inadequate clothing and a slum to live in.
(Condensed from “Talking about the Consumer Society”

24

by Helen Turner, Chapter 1)

Vocabulary
a skin

- kulit

privileged

-beruntung, istimewa

a cave

- gua

a dwelling

- tempat tingga

mud

-lumpur

rigidly

-dengan ketat.

settled

- mantap

an aim

-tujuan

prosperous

-makmur

to share

-membagi-bagi

inventive

-mampu me-

poor

-disini : kurang baik

a necklace

-kalung

inadequate

-tidak cukup

to claim

-menuntut

a slum

-perkampingan yang

miskin
B. Translate the text into Indonesian.

C. Answer the following question in English, basing your answer on the text.

1. What are the basic needs of all human beings and animals? (line 3)
2. How did men in the earliest ages obtain their food and clothing? (line 5)
3. How are people in pre-historic time housed? (lines 5-7)
4. What happened when communities became more prosperous? (lines 9-10)
5. Why does necklace easily became a need for a woman? (lines 11-13)
6. Are things like electric cookers and refrigerators needs or wants in America? (lines 14-15)

25

7. What is one of the differences between the developed countries of today and the civilized
countries of the past? (line 16-19)
8. What do you understand by mass consumption? (lines 19-20)
9. What do you people do with their money in a consumer society? (lines 22-24)
10. Why does the government in a communist country control consumption(lines 26-27)
11. Are people in underdeveloped countries always able to satisfy their basic needs? (lines
27-29)
12. Does ever one in a consumer society have enough to eat, as well as adequate clothing and
housing? (lines 29-31)

D. Say whether the following statement are true (T) or false (F).
If they are false say why.
1. Not all people feel the need for food, clothing and shelter (
2. All people throughout the word are consumers (
3. In prehistoric times people lived in caves (

).

).

).

4. When a community becomes prosperous many wants become needs (

).

5. In a developed county housewives do not need refrigerators ( ).
6. In a civilized country in a past age people could easily satisfy all their wants.
7. Britain is a mass consuming society ( ).
8. In a consumers society people do not need money (

).

9. In the USSR the government controls consumption ( ).
10. In an underdeveloped country every one is able to satisfy his basic needs(
11. Many people in consumers societies still live in slums (

)

).

26

12. In a consumer society all wealth is share equally amongst the people (

).

E. Exercises
1. Punctuate the following passage on NEEDS and WANTS. Provide capital letters,
commas, full stops, inverted commas etc. as required for an Indian peasant two goods
meals a day is a want not a need he can keep alive on one meal we in the developed
countries have the habit of living in such comfort that we say quite naturally I need a
new pair of shoes when we have several pairs already man has the skill to use the
vast resources of the world but all this wealth is most unequally shared what we call
the standard of living has varied from one man to the next throughout history the
same is true today in spite of all our technological progress.
(“The Consumer Sociaty”, Helen Turner : Chapter 1)
2. Find the words in the text for which the following words could be substituted.
The lines in which these words appear are given in brackets
a. essential (3)

h. fulfilled (12)

n. purpose (26)

b. have in common (3)

i. assert (13)

o. to divide up (27))

j. advanced (16)

p. backward (27)

d. societies (9)

k. periods (17)

q. insufficient (30)

e. wealthy (9)

l. favoured (18)

f. to supply (10)

m. the greater number(19)

c. erected (6)

g. capable of discovering things (10-11)

3. Use the correct tense in the following sentences.
What we (do) with our evenings before the age television?
How we (manage) to live without frozen food, plastic buckets, shirts which (not
need) ironing, materials which (not crease) in the wrong place, socks which (not
need) to (darn)? ..................
27

It (be) sometimes difficult to believe that these( make up) just part of the endless list
of consumer goods which (not exist) in their present form until after 1945; they
gradually (doubled) our choice of consumer goods within the brief space of one
generation.
4. Use a noun in each of the blanks of these sentences. The nouns have been
derived from verbs used in the text. The lines in which these verbs are found are
given in brackets.
a. if a nation’s ….. is greater than is output, the nation’s capital is reduced (2).
b.

the big ….. at the end of the street is a supermarket (6).

c. Without the ….. of sufficient funds we cannot do much to relive the suffering of
the poor (10)
d. In ….. to rising prices we have to face harder working conditions (11).
e. I am sure that this kind of work will give me much ….. (18).
f.

Does depend entirely on technical assistance and capital? (16)

g.

A consumer society is one in which activity revolves around …. And
buying(23).

h.

His monthly …. Amount to one hundred thousand rupiahs (24)

i.

This man is leading a happy . . . . (31)

5. Arrange the following sentences in their proper sequence in order to obtain a
paragraph on ‘Earning a living’
a. But the sort of jobs people have and the pattern of employment are very
different in consumer societies today
b. They way in which people earn their living has changed dramatically in the
last 20 years.
c. However, all societies have unemployment, to a greater or lesser degree.
d. This is still this situation in many parts of Asia, Africa and South America.
e. In Britain 1750,three quarters of the working population were employed in
farming and the craft associated with it.

28

(“The Consumer Society”, Helen Turner : Chapter 2)

LESSON 5
ECONOMIC MOTIVES
In general we may say that the primary economic motive of individuals and business firms is
to maximize their gains or to minimize their losses. Or we may say it is the attempt to obtain the
greatest possible gain at the least possible cost. For business firms the gains consist mainly in net
income. For the individual the gains consist in the satisfaction of wants. An individual who is
attempting to maximize his economic gains will try to divide the expenditure of his income in
such a way that the goos and services he receives will yield him the

greatest mount of

satisfaction. Acting on this principle he will not buy more of one good when a purchase of some
other good would satisfy a want that is more intense. He attempts to obtain an equal amount of
satisfaction from the last dollar spent on each article. If he anticipates that his wants may be
greatesr in the future, he may save some of his income rather than spend it all now. Or if the gain
offered by interest appears to be greater than the inconvenience of postponing consumtion, he
will save and lend at interest.
Even if all individuals were attempting to maximize their economic gains, we would not
expect them all to act in the same way. Differences in fastes and differences in incomes will
obvicusly result in different expenditure patterns of different individuals. Also, some individuals
will prefer more leisure to a greater amount of goods and others will be willing to work longer
greater amount of goods and others will be willing to work longer to obtain more goods .
Differentces in temperament will be also affect other aspects of economic conduct. Thus,
venturesome people may be willing to assume great risks when there is a chance of large gains.
Others will be intent on security and will be content with small gains if there appears to be little
risk of loss.
We should expect more uniformity in business decisions than in the economic action of
individual consumers. Among business-men, however, there are both venturesome and cautious
individuals just as in other walks of life. Event though businessmen may be actuated by similar
motivies, their decisions will be different as they place different interpretations upon facts. Thus,
29

a fall in the price of a raw material may induce some businessmen to stock up heavily on it.
Others may interpret the fall in price as a prelude to a further decline and so may decrease their
purchases rather than increasing them. This circumstance is what makes business forecasting so
difficult. Not only do we have to know the facts, we have also to estimate how the majority of
business-men will react to them.
Gains (noun)

= Keuntungan

To acticipate

= mengantisiper

To postpone

= menangguhkan

A pattern

= suatu pola

To affect

= mempengaruhi

Uniformity

= kesamaan

Venturesome

= berani

In other walks of life

= dibidang kehidupan lain

He may be actuated by = ia mungkin terdorong oleh
A prelude

= gejala pendahuluan

A decline

= turunnya (harga)

Forecasting

= ramalan

To estimate

= di sini : meramalkan.

B. to consist of – Indonesia consist of may islands- (Indonesia terdiri dari banyak pulau)
to consist in – Her main duty consisted in seing that the children washed their faces- Other
verbs in –sist:
to exist

- The castel has existed these five hundred years –
noun : existence, (adanya)

30

-

Middlemen have to make their existence known to their clients – (Perantara harus
memperkenalkan diri pada langganannya)

to insist

– He insisted on doing the work him self –estence.
Noun : insistence. (desakan)

to resist

– He could not resist temptation – (Dia tak kuat menghadapi percobaan)
Noun : resistance. (rintangan)

-

to follow the line of the least resistance-

to persist
-

- Do not persist in that bad habit-

Scarcity will persist –
To persist is usually unfavourable.
Noun : persistence
Synonym : to persevere.

-

By patient persevering attention to business Mr. James Dean succeeded in establishing a
cotton – manufactory –
Noun : perseverance (ketabahan)

Conduct

= behaviour (tingkah laku)
Conduct has sometimes an unfavour – able meaning.
-

So heavy had been Sir John’s losses through the conduct of his son, that he was
seriously straitened for money – (Begitu berat kerugi-an Sir John karena
tindakan putranya sehingga dia sangat kesulitan uang)

to conduct = to lead to, to direct an archestra, to command andarmy (memimpin)
to conduct oneself = to behave oneself, (berlaku sopan)
to conduct implies the idea of know-ledge and skill.

31

Syn : to lead (mengantar) implies “care” : I led the poor invalid to the chair ; To lead
the way.
to gui