Unlocking Word Meanings
Read the following words/expressions found in today’s article.
1. spearhead (v.) [speer-hed] – to lead or to start
Read the following words/expressions found in today’s article.
1. spearhead (v.) [speer-hed] – to lead or to start
Example: The
leader spearheaded the team in completing the difficult project.
2. default (n.) [dih-fawlt] – in economics, the failure
to fulfill financial obligations, especially paying debts
Example: The
company declared default on their debts due to bankruptcy.
3. legislate (v.) [lej-is-leyt] – to make a law
Example: The
new educational decree legislates learning English as part of the
curriculum.
4. credibility (n.) [kred-uh-bil-i-tee] – the quality of being
believed or accepted as true, real, or honest
Example: His
dishonesty ruined his credibility as the
leader of the team.
5. predicament (n.) [pri-dik-uh-muhnt] – a problematic or
dangerous situation
Example: The
company president remains optimistic despite the predicaments brought by
the economic crisis.
Article
Read the text below.
Leaders from the 27 European Union nations held a two-day summit in Brussels last December to discuss a proposal to resolve the euro crisis. The proposal, spearheaded by France and Germany, aims to reform the EU Treaty by imposing stricter financial rules.
But on the
first day of the summit, some countries were still not sure if the plan would
work. A draft of the summit’s initial conclusions
also mentioned adjusting countries’ deficit limit from 3% of their GDP to
0.5%. It also included a move that Germany opposed -- increasing the eurozone
bailout fund to more than 500 billion euros for countries that might declare default.
In general, France
and Germany aim to push changes in the EU Treaty to include stricter fiscal
rules. The Franco-German plan allows the European Commission to impose
penalties on eurozone nations that would have excessive budget deficits. The
plan also requires eurozone nations to legislate
the need to have balanced budgets, and proposes measures that protect the
interests of corporations and private investors in terms of tax policies and
governments bonds.
German
Chancellor Angela Merkel said that the Euro's credibility needs to be restored. Giving more powers to the
European Commission and the European Court to enforce rules would result to
greater coordination between countries, she said. French President Nicolas
Sarkozy added that Europe has never been as significant in the global economy
as it is today, but it has also never been in an economic predicament as serious as the Euro crisis.
He encouraged leaders of eurozone nations to hurry in their decision to adopt the
Franco-German proposal for time is running against them.
By the end of
the summit, 26 out of the 27 EU nations, including the 17 eurozone nations,
agreed to most parts of the Franco-German plan. Only the UK, a non-eurozone
country, opposed the proposal. UK prime minister David Cameron made it clear
during the summit that he could not agree to a plan that may harm the British
economy.
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Viewpoint Discussion
Enjoy a discussion with your tutor.
Discussion A
●
How
do you think economic problems affect ordinary citizens?
●
How
are you affected by the world’s economic problems?
Discussion B
●
Do
you think it is possible to prevent economic problems? Please explain your
answer.
●
Do
you think ordinary citizens can contribute in the prevention of economic
problems? Please explain your answer.