2. Read to check your answers.
Were you correct? Read the introduction to the article and answer the questions below.
Changing
prices
The value of money
Since 1933 consumer prices have risen by 950 per cent in the United States and by 4,000 per cent in Britain. That means that the U.S. dollar today is worth only 10 cents in 1933 money, and the British pound is worth only 2.5 pence. Even the deutschmark lost two-thirds of its value over the period from 1947 (when it replaced the worthless reichsmark) to 2001 (when it was replaced by the euro).
Because prices have risen almost non-stop since 1933, most people today expect that prices will continue to rise every year. In fact, history shows that inflation is not "normal" at all.
The charts below show consumer prices from 1661 in Britain and from 1820 in the United States and Germany. Official figures do not exist for so long ago, and older indices tended to consider only food and housing, and excluded services. But various data can be linked to give a broad picture of price movements over the centuries.
4. Verbs to describe change.
Rise means go up. These words are synonyms. The opposite of rise is fall.
Note: Have risen is the present perfect tense. The past tense of rise is rose.
Match the four synonyms below to their opposites.
6. Read more.
Read the next part of the article. Then choose the correct option for each graph.
The ups and downs
In the years before 1933, prices fell in Britain and the United States more years than they rose. The longest unbroken period of rising prices in both the States and Britain was for only six years. Germany's hyperinflation in 1922-1923 (when inflation was more than 1 billion per cent) is well known. More interesting is the fact that, while prices went down during the 19th century in Britain and the United States, prices doubled in Germany.
After decreasing by 40 per cent between 1820 and 1900, U.S. prices more than doubled during the first World War. But by the early 1930s the average price level had fallen to the level it was in 1820.
The British figures, which cover the longest period, give the best picture. During the three centuries to 1933, there were only six occasions when prices increased for more than three years consecutively. This happened mostly during wars, when government borrowing soared. Prices peaked in 1813, during the Napoleonic Wars, but by the end of the 19th century they had more than halved again. As in the United States, prices rose spectacularly during 1914-1920, but then fell again. By 1933 prices in Britain were virtually identical to their 1660s levels.
7. Meaning in context.
Choose the best meaning of the underlined words.
In the years before 1933, prices fell in Britain and the United States more years than they rose. The longest unbroken period of rising prices in both the States and Britain was for only six years. Germany's hyperinflation in 1922-1923 (when inflation was more than 1 billion per cent) is well known. More interesting is the fact that, while prices went down during the 19th century in Britain and the United States, prices doubled in Germany.
After decreasing by 40 per cent between 1820 and 1900, U.S. prices more than doubled during the first World War. But by the early 1930s the average price level had fallen to the level it was in 1820.
The British figures, which cover the longest period, are the most revealing. During the three centuries to 1933, there were only six occasions when prices increased for more than three years consecutively. This happened mostly during wars, when government borrowing soared. Prices peaked in 1813, during the Napoleonic Wars, but by the end of the 19th century they had more than halved again. As in the United States, prices rose spectacularly during 1914-1920, but then fell again. By 1933 prices in Britain were virtually identical to their 1660s levels.
9. Past simple and present perfect.
Read the two sentences. Which sentence means "and this is still the case"?
10. Past simple and present perfect.
Put the verb in the correct form (past simple or present perfect) to complete the sentences.
11. Reading a graph.
Choose the correct line on the graph for each description.
Description 1:
Unemployment in this country was very low during the 1960s, but started to rise after the petroleum crisis of the early 1970s. It continued to increase through the 1970s and peaked in 1977, after which it fell slightly. It rose again during the 1980s, and reached 14 per cent at the end of the decade. In the 1990s it fell gradually, and at the end of the decade it picked up. There was a rise in 2001, but since then it has fallen gradually.
|
Description 2:
Our inflation rate has been quite volatile over the last 30 years. It was around 3.5 per cent for most of the 1960s, but in 1972 it doubled. It soared through the next few years, peaking in the mid-1970s. It continued to be high throughout the decade, though it did start to decrease slightly. By the early 1980s it stood at around 10 per cent. During the 1980s it rose and fell continuously until it plunged in the late 1990s. It has risen since then and now stands at around 2 per cent.
|
|
12. Writing Tutorial 1.
Choose ONE of the following options.
- Describe the recent history of inflation in your country.
OR
- Look at the graph below. Write a description of how inflation has changed over the 20-year period shown.
Use the following words in your description.
rise/fall, go up/go down, increase/decrease, double/halve,
continue to …, start to …
peak/reach
rise/fall slightly/gradually
during the 1990s
Write between 100 and 200 words.