Lessons 11–12 · 2 lessons · E. Sariqov, B. Khaydarov. Foundations of Economics, Grade 8. “Huquq va Jamiyat” Publishing House, Tashkent, 2019
12
Review of Chapter II
Textbook: pp. 56–58
GoalReviews the concepts of Chapter II – exchange, money, the market and its types, price, market participants – and applies them in calculations.
New words
functions of money: medium of exchange, measure of value, store of value · pulning vazifalarimarket types: consumer goods, means of production, labour, financial, intellectual goods · bozor turlarifunctions of price: informing, motivating, allocating · narxning vazifalarimarket infrastructure: banks, insurers, exchanges and similar helpers · bozor infratuzilmasi
Explanation
The second chapter showed how people came to the market through exchange. The difficulty of barter led to the appearance of money; money performs the functions of exchange, measure and saving and exists in cash, non-cash, plastic and electronic forms. A market is the contacts that link sellers and buyers to swap goods for money; it divides into consumer goods, means of production, labour, financial and intellectual-goods markets. Price informs, motivates and allocates scarce goods. Resources, goods and money circulate continuously among the market participants – producers, households and the state. In review, link the concepts to examples and calculations.
Worked examples
Review: in a shop a notebook costs 6 000 so‘m and a pencil 2 000 so‘m. 5 notebooks and 8 pencils: 5 · 6 000 + 8 · 2 000 = 30 000 + 16 000 = 46 000 so‘m. The price is a measure of value, the payment is a medium of exchange.
Review: “A bank belongs to the financial market, a craftsman's workshop to the consumer-goods market, an exchange to market infrastructure” – putting each organisation in its place means understanding the structure of the market.
Class activity
“Quiz”: the teacher asks questions, teams answer on a signal. A correct answer earns points; the team with the most points wins.
Practice
1
Write the three functions of money and the three functions of price.
How many so‘m do 7 notebooks at 6 000 so‘m and 10 pens at 3 000 so‘m cost in total?
72000
3
At the conditional rate of 1 dollar = 12 500 so‘m, how many so‘m is 8 dollars?
100000
4
Why does the market for means of production differ from the consumer-goods market? Explain with an example.
Means of production (machine tools, raw materials) are bought by firms for further production, while consumer goods (bread, clothing) are bought by families for their own needs.