Unit Three Economy WatchLead-in Discussion1.Work in groups to match the national flags with the countries. Then choose a country to live in while justifying your group decision.IndiaU.S.EthiopiaSingaporeBrazilSwitzerland Lead-in Discussion2. Identify some developed countries and developing countries from the world map.Lead-in Discussion3. Are you familiar with the following terms of economic system? Name a country / region for each category.Planned Economy / Command EconomyMarket EconomyMixed Economy4. China has enjoyed strong economic growth for over three decades. What are the implications of its strong growth?Theres a favorable ripple effect throughout the economy.For consumers: - Income level Purchasing power Volume of spending Demand for productsFor manufacturers: - production revenueFor suppliers - sales of equipments need for workers investmentFor distributors - business opportunities. Lead-in DiscussionStructural AnalysisPara. Main Topics 1Chinas economic growth in the past three decades is a miracle. 2-16Greater interest has been aroused in the China model of economic growth. This text just helps to demystify the miracle.Part I Questions about Part IQ1: What was Chinas economic situation like before 1979?China practiced planned economy.China was a poor, inward-looking country with low per capita income as well as trade dependence ratio.Part I Questions about Part IQ2: Why is the year of 1979 mentioned by the author as a dividing line in Chinas economic growth?In December 1978, the 3rd Plenum of the 11th Central Committee of CPC was held in China, at which the reform and opening-up policy was put forward.Since then, China has embarked on a journey of strong economic growth for over 30 years.Part I Questions about Part IQ3: What examples have been given to elaborate the China miracle of the past 30 years?High annual GDP growth rate;High annual growth rate in international trade;Increased income (now a middle-income country);Highest trade dependence ratio;The 2nd largest economy and the largest exporter of merchandise in 2009;Largest car market now;Shanghai: the busiest seaport by cargo tonnage. The spectacular growth over the past three decades far exceeded the expectations of anyone at the outset of the transition, including Deng Xiaoping, the architect of Chinas reform and opening-up strategy. (Line 14, Para. 1) Chinas miraculous economic growth over the past 30 years was beyond what many people had expected at the beginning of its economic transformation. And Deng Xiaoping, who set the blueprint for Chinas reform and opening-up policy, was no exception.Part I Sentence Interpretation inward-looking (Para. 1) a. being enclosed or confined to the inside of something; being cut off from the outside world synonyms: closed; isolated example: The solution to global competition is fostering improved competitiveness rather than taking an inward-looking stance.Part I Words and Expressions miraculous (Para. 1) a. surprising or unexpected; being or having the character of a miracle synonyms: incredible; marvelous; amazing example: With the new management team, the company made a miraculous recovery from the labor-gate crisis.Part I Words and Expressions at the outset of (Para. 1) pp. at the start of; at the beginning of example: At the outset of her career she was full of optimism but not now.Part I Words and ExpressionsDeng XiaopingDeng Xiaoping was the leader of China from 1978 to 1992. He is considered “the architect” of Chinas reform and opening-up policy.His goal at that time was to quadruple the size of Chinas economy in 20 years, which would have meant an average annual growth of 7.2 percent. Most people in the 1980s, and even as late as the early 1990s, thought that achieving that goal was a mission impossible.He is generally credited with developing China into one of the fastest-growing economies in the world for over 35 years and raising the living standard of hundreds of millions of Chinese.Part I NotesQ1. Three aspects have been focused to unveil the China miracle. What are they? (Para. 2)The reason for Chinas extraordinary performance in transition.The reason for failing to achieve similar performance by other transition economies.The insight of China miracle for other developing countries.Part II Questions about Part IIQ2. What, in the authors point of view has contributed to Chinas strong growth in the past three decades? (Para.3-8)Chinas exploitation of the advantage of backwardness has allowed the country to emerge as the worlds workshop and to achieve extraordinary economic growth by reducing the costs of innovation, industrial upgrading, and social and economic transformation.Part II Questions about Part IIQ3. Why didnt other transition economies perform equally well? (Para.9-12)During the transition from low-income agrarian economies to capital-intensive heavy industries, many developing countries introduced distortions and government interventions, leading to stagnation and social and economic crises.However, unlike China, they removed all distortions immediately while implementing liberalization, privatization and marketization at the same time, causing the collapse of many nonviable firms in private sectors and a contraction of GDP, high unemployment rate and acute social disorders.Part II Questions about Part IIQ4. What lessons can be learned from the China miracle by other developing economies? (Para.13-16)They can adopt a dual-track approach like what China has taken, providing some transitory protections to nonviable firms to maintain stability but liberalizing entry into sectors in which they have comparative advantages to tap the advantage of backwardness in its technological innovation and structural transformation to achieve dynamic growth.Part II Questions about Part II1. The acceleration of growth was accompanied by a move of labor from agriculture to manufacturing and services. (Line 5, Para. 5)Accompanying the quick growth of economy is the transfer of laborers from the primary industry to the secondary and tertiary industries.Part II Sentence Interpretation2. Chinas exploitation of the advantage of backwardness has allowed the country to emerge as the worlds workshop and to achieve extraordinary economic growth by reducing the costs of innovation, industrial upgrading, and social and economic transformation.(Line 14, Para.8)By taking full advantage of its backwardness, China has become the worlds manufacturing center and has achieved amazing economic growth through the cost reduction in innovation, industrial reengineering as well as social and economic transformation.Part II Sentence Interpretation3. The development of modern advanced industries was perceived as the only way to achieve rapid economic takeoff, avoid dependence on the Western industrial powers, and eliminate poverty. (Line 9, Para. 9)Developing modern advanced industries was regarded as the only means for those transition economies to boost their economic growth, to be independent from Western industrial nations and to eradicate poverty.Part II Sentence Interpretation4. During the transition process China adopted a pragmatic, gradual, dual-track approach. (Line 1, Para.12)During its transition from command economy to market economy, China has adopted a practical, double-way method.Part II Sentence Interpretationself-sufficient (Para. 5)a.able to provide for ones own needs without help from otherssynonyms: self-sufficing; self-sustaining example: Using traditional methods, poor farmers can be virtually self-sufficient.Part II Words and Expressionsexploit (Para. 5)v. make good use of; take advantage ofsynonyms: advantage; explore example: The president is hoping to exploit new opportunities within the good bilateral relationships.Part II Words and Expressionsunleash (Para. 5)v.to make loose or free from constraints; to release or ventsynonyms: release; looseexample: The CEOs proposals unleashed a storm of protest in the company shareholders. Part II Words and Expressionstrial-and-error (Para. 6)n.a method of reaching a correct solution or satisfactory result by trying out various means or theories until error is sufficiently reduced or eliminated.example: He argued that all learning is a trial-and-error process that resembles biological evolution. Part II Words and Expressionstap (Para. 6)v. to draw from; to make good use ofsynonym: exploitexample: The Campbell Soup Company says it will try to tap into Japans rice market.Part II Words and Expressionsdefy (Para. 10)v. to resist or confront with resistancesynonym: challengeexample: Its a devastating and barbaric act that defies all human civilizations.Part II Words and Expressionspervasive (Para. 10)a. spreading throughoutsynonym: permeatingexample: Globalization has posed a pervasive impact upon peoples life.Part II Words and Expressionscontraction (Para. 11)a.the act of decreasing (something) in size or volume or quantity or scopesynonym: cut; reduction; recessionantonym: expansionexample: The recent contraction in Chinese manufacturing is the result of a tightening in credit markets.Part II Words and Expressionseradicate (Para. 15)v. to get rid of something completelysynonym: eliminate; wipe outexample: The Prime Minister has made a significant contribution to eradicating government corruption.Part II Words and Expressionsinclusive (Para. 16)a.including much or everything; and especially including stated limits;synonym: comprehensive; all-overantonym: exclusiveexample: Now the governments task is to unwind the exceptional support given to the economy and push through the reforms needed to sustain fast and inclusive growth.Part II Words and ExpressionsIndustrial Revolution (Para.5)The Industrial Revolution (1750-1840) began in Great Britain and spread to Western Europe and the U.S. within a few decades. It was the transition to new manufacturing processes, from hand production methods to machines, new chemical manufacturing and iron production processes. It also included the change from wood and other bio-fuels to coal.It marks a major turning point in history; almost every aspect of daily life was influenced in some way. In particular, average income and population began to exhibit unprecedented sustained growth. Part II NotesMichael Spence (Para.7)Michael Spence is an American economist and recipient of the 2001 Nobel Memorial Prize in Economic Sciences.He chaired the independent body “The Commission on Growth and Development” to examine various aspects of economic growth and development. Part II Notesforeign direct investment (Para.8)A foreign direct investment (abbreviated as FDI) is a controlling ownership in a business enterprise in one country by an entity based in another country.Broadly, foreign direct investment includes mergers and acquisitions, building new facilities, reinvesting profits earned from overseas operations and intra company loans. In a narrow sense, foreign direct investment refers just to building new facilities.Part II Notesrent-seeking (Para.10)In economics, rent-seeking is spending wealth on political lobbying to increase ones share of existing wealth without creating wealth. The effects of rent-seeking are reduced economic efficiency through poor allocation of resources, reduced wealth creation, lost government revenue, increased income inequality, and national decline.Current studies of rent-seeking focus on the manipulation of regulatory agencies to gain monopolistic advantages in the market while imposing disadvantages on competitors. Part II Notesexternality (Para.13)In economics, an externality is the cost or benefit that affects a party who did not choose to incur that cost or benefit.A positive externality (also called “external benefit” or “external economy”) is an action of a product on consumers that imposes a positive effect on a third party. A negative externality (also called “external cost” or “external diseconomy”) is an action of a product on consumers that imposes a negative effect on a third party.Part II Notes Structural AnalysisPara. Main Topics 1-8The world economy has witnessed both great divergence and great convergence between the western countries and the rest of the world. 9-20The economic power of the western world has gone through it historical grandeur as well as recent decline. With emerging markets catching up, many worries from the western world arose. 21-25People have anxiety over the risk of Americas losing its top-dog status to emerging markets.Q1: Quarry Bank Mill is used as an example What does the author aim to tell us? (Para.1-3) The Industrial Revolution has greatly impacted the companys business. In addition, it has also established a global hierarchy in the world with the western world possessing more economic power (such as Quarry Bank Mills outsourcing of their production to poorer countries).Part I Questions about Part IQ2: How has the financial crisis triggered the shift in economic power? (Para.4-8)On one hand, the rich world including America has been greatly impacted by the crisis, with scant economic growth. On the other hand, poor countries have tried to take advantage of their backwardness to catch up quickly. In addition, during the financial crisis, developing countries bought government bonds from the rich world (and stored them as currency reserves) as insurance against future crises. Part I Questions about Part IQ1: How has the economic power changed according to the text? (Para.9-16)Before the Industrial Revolution, India and China were two biggest economic giants due to their large population.By 1870, Britain ranked 1st with the help of the Industrial Revolution.By the eve of World War I, America had become No.1 and has remained its position ever since.Emerging countries (including China & India) have been developing much faster in recent several decades, posing threats to the rich nations including America.Part II Questions about Part IIQ2: With emerging markets gaining more economic power, there are some concerns related to it. What are they? (Para.17-20)The 1st worry is about direct competition for limited natural resources available as well as the special status and perks that come with being the issuer of a trusted international currency.The 2nd anxiety relates to job security and pay, especially with the impact of outsourcing.The 3rd concern is that the emerging markets are prone to crises and unlikely to be sustained.Part II Questions about Part IIQ:What is the authors attitude towards the transfer of economic power from rich countries to emerging markets? (Para.21-25)Neutral.Currently, theres a relative economic decline facing rich countries, but thats not an absolute fall in living standards.Therell be a devastating effect on the well-being of ordinary people if America loses its top-dog status as history proved this.No country or groups of countries can stay on top forever.Theres a long way for emerging economies to leap from middle-income to reasonably rich.Part III Questions about Part IIIThe use of public speaking in the form of oral presentations is common in higher education and is increasingly recognized as a means of assessment.However, effective public speaking can be trained. People can develop their public speaking skills by joining various training programs in which they are assigned exercises to improve their speaking skills.Speaking Training for public speakingPublic speaking skills can be learned by observation and practice and enhanced by listening to constructive suggestions followed by new public speaking exercises. These include: 1) Oratory; 2) The use of gestures; 3) Control of the voice; 4) Vocabulary, register, word choice; 5) Speaking notes and pitches; 6) Using humor; 7) Developing a relationship with the audience and etc.New training solutions: video and online coursesSpeaking Training for public speakingPracticeClick on the following link for the “I Have A Dream” speech by Martin Luther King. Watch it and then make a short presentation commenting on Martin Luther Kings public speaking skills:http:/v.ifeng.com/history/renwujingdian/201210/50d12f61-7276-415c-b8d1-8d5c48749447.shtml Speaking Training for public speaking