Unit 23 – 25Central Banking, Money & Taxation

Exchange RatesThe Business Cycle

Business EnglishWeek 13

Professor Hayashi

Today’s Class

• attendance & free homework!• review presentations• tax vocab and discussionBREAK• world currencies and vocab• the business cycle

Unit 23Central Banking, Money & Taxation

Taxation Vocabulary

Vocabulary 2E• Skim the text for the answers1. depreciation2. disincentive3. regressive4. consumption5. self-employed6. national insurance7. perks8. tax shelters9. tax-deductible10.tax havens

Exercise 2F – Discussion – pg. 138For taxation/government spending Against taxation/government spending

1. All businesses require roads to allow staff, supplies and customers to get to them

2. A wealth tax taxes money that has already been taxed before, perhaps many times, and is therefore unethical.

3. Adam Smith: The subjects of every state ought to contribute toward the support of the government in proportion to their respective abilities

4. Business investments should be fully tax-deductable in the year that they are incurred, not amortized or depreciated over an extended period of time.

6. If the general population is unhealthy, and unable to work, firms won’t find either enough staff or customers

5. Redistributive taxation is, quite simply, theft.7. Income tax creates a bias against all income-generating activity, which makes everyone poorer.

9. People will stay away from retail outlets in areas of environmental damage or urban decay

8. It isn’t people who are taxed, but productive activities.11. The money people earn is their money.

10. Widespread poverty always leads to crime 13. Why shouldn’t people be born rich?

12. How would companies get qualified staff without the public education system?

14. Taxes take away people’s hard-earned private property.

15. Society should should share financial success.

16. Taxes encourage consumption, reduces capital accumulation & future prosperity.

Unit 24Exchange Rates

How many types of currencies can you name in 2 minutes?

World Currencies• http://en.wikipedia.org/wiki/List_of_circulating

_currencies

1D Vocabulary – Pg. 142 - 143

exercise 11. b2. d3. a4. c5. f6. e

exercise 11. b2. d3. a4. c5. f6. e

exercise 21. adjust2. convert3. abolish4. suspend5. fluctuate6. diverge

exercise 21. adjust2. convert3. abolish4. suspend5. fluctuate6. diverge

Unit 25The Business Cycle

Vocabulary – Exercise 1A – pg. 145

1. depression2. trough3. upturn / expansion / recovery4. peak5. recession / downturn / contraction6. boom

Reading 1B – pg. 146• Read the text and answer the question, then do exercise 1dWhy are there periods when a country’s economy works more

strongly than others?There are changes in the level of consumption, resulting from

changes in interest rates or changes in people’s beliefs about the future, and changes in the level of wages and salaries, all of which lead to changes in the level of investment; and technological, and political and demographic changes.

Vocabulary – 1D – pg. 1471. expectations2. mortgage3. rent4. output5. investment6. industrialists7. consumption8. lay off9. demographic 10. austerity

Homework• Add somebody in this class to Facebook and

send them a nice, encouraging message!