ISSN 1648-2824 KALB STUDIJOS. 2011. 18 NR. * STUDIES ABOUT LANGUAGES. 2011. NO.

18

A Cognitive Approach to Teaching English for Special Purposes (ESP)

Natalya Davidko
Abstract. Cognitive science today makes it possible to combine independent studies under the auspices of one
focal problem the workings of the human mind in knowledge acquisition. Foreign language teaching draws
heavily on linguistics, psychology, and philosophy. In this article we come up with a cognitive approach to
teaching language for special purposes. The focus of our attention is on terms belonging to a specific domain
(options). The acquisition of terminology in a foreign language presupposes knowledge of a non-linguistic
conceptual structure (conceptual content) and means of verbalization (linguistic content). To expose the
conceptual content of an individual term we employ the notion of qualia which allows us to study a term from
four cognitive aspects. In order to give students a holistic picture of the domain in question we make use of
cognitive modeling which means constructing an abstract infrastructure of the subject area and showing
possible links among its elements. The objective of teaching is to help students create a personal construct
a personal model of knowledge which enhances their information processing capacity and lays down the
foundation of their future progress in advanced knowledge acquisition and comprehending and generating
professional discourse.
Key words: cognitive science; personal construct; concept development; qualia; cognitive model; mental
representations; cognitive teaching.
The basic tenet of cognitive didactics and psychology is
that learning involves an active construction of knowledge
on the part of students: all meaningful learning is a form
of active knowledge construction (Derry, 1996, p.169).

Introduction
Globalization and exposure to stiff competition in labor
markets make people revisit their views on education in
general and foreign language learning in particular. Many
young people give preference to multilingualism because it
is common belief that more languages enhance ones
employability, hold out a promise of faster promotion and
better achievement levels, and increase chances of success.

Terms specialized words or expressions used in a

particular profession or activity to designate concepts
are the most important part of ESP acquisition and
teaching them is not all plain sailing. The classical view on
terminology was formulated by Wster (1974) of the
Vienna school. This theory stipulates five things: the priority of concepts, a logically structured conceptual system,
clear-cut definitions, the naming function of terms, and the
permanent concept/ term assignment. We assume that
terms are specific lexical units in which linguistic content
is so fused with non-linguistic conceptual content that any
meaningful teaching must include the conceptual aspect as
its objective.

The English language for business communication remains

a must for the overwhelming majority of learners.
BUSINESS today is many things: stock market, banking,
ethics, and marketing, to mention but a few. As a result,
English for business communication is highly compartmentalized, i. e. falls into separate subject areas (slots)
worthy of focused attention. Therefore business classes
must be tailored to students needs and should start with
the acquisition of terminology which lies at the core of any
specialized discourse and professional communication and
serves as mutual knowledge or shared information for
professional people.

The aim of the article is to suggest a specific teaching

approach which employs two cognitive tools qualia and
cognitive model in addressing conceptual content,
expose their advantages in concept explication and show
the possibilities they open up for structuring professional
knowledge and enhancing learning efficiency and
effectiveness. Novelty of this approach lies in the fact that
cognitive tools are applied to classroom teaching.

We presume that a serious didactic approach may be

worked out only if it is based on a sound linguistic theory
and psychological researches. Cognitive science a
number of independent studies interested in the workings
of the human mind opens up new venues for linguistic
analysis and foreign language teaching. Cognitive linguistics
as well as cognitive psychology and philosophy give us a
better insight into what and how we are teaching: it
emphasizes the innate relationship between mind and
language, cognition and verbalization (Thagard, 2005, p.4).
The characteristic idea of cognitive linguistics is that in
order to achieve an adequate level of knowledge we must
not only describe concepts and categories with an abstract
definition, but we should take into account the things that
the definition is about (Geeraerts, 2006, p.1).

Theoretical Background
The cognitive paradigm allows implementing an interdisciplinary approach when addressing the question of
knowledge acquisition. The cognitive approach focuses on
mental processes of learning where perception and computation of information are postulated to be dependent on
prior knowledge, and language is regarded as a vehicle
providing access to cognitive content. Can the opposite be
true? We think it can: comprehension and acquisition of

82

cognitive content paves the way to a faster and easier

learning of a special language.
Before we discuss tools of cognitive teaching we find it
necessary to summarize our views on the following
questions: What is knowledge? What is learning? What is
language knowledge? How is knowledge acquired and
stored?
The essence of knowledge
When learning English for Special Purposes students are
faced with double difficulty: WHAT to say and HOW to
say. The difficulty stems from the existence of two types of
knowledge: KNOW THAT (often called epistemological
or propositional knowledge) and KNOW HOW TO (often
called procedural knowledge). The differentiation of
knowledge into several types goes back to the philosophy
of knowledge. Illuminating insights into the essence of
knowledge are found in the works of the philosophers of
the XVII-XVIII centuries: J. Locke, J. Berkeley, D. Hume
and I. Kant. I. Kant distinguished between seven degrees
of knowledge:
1) merely to have some knowledge;
2) to have an idea consciously;
3) to know something in comparison with other things,
according to identity as well as to difference;
4) to know something consciously or to apprehend it;
5) to understand something, or to conceive by means of
concepts;
6) to apprehend something through the reason, or
understanding content;

competence knowing the subject matter and

linguistic competence that is the ability to use and
understand the meta-language of the area in question.
The essence of learning
The cognitive approach adopted in this article draws
heavily on the cognitive constructivist learning theory
which is based on the premise that learning is an active
individual process involving students participation in
knowledge acquisition (empathy). The constructivist theory is
based on George Kellys (1955) idea of the personal construct (internal models of the world) as the basic unit of
mental cognitive structure that a person deliberately creates
in the process of cognition and through which s/he interprets, understands, and evaluates events, situations, and
new information. Later research in psychology (Ericsson &
Smith, 1991; Hoffman, 1992) showed that people with
developed personal constructs those that have a more
complex hierarchical organization and contain more links
among its elements, hence are more differentiated and integrated have greater expertise in a certain field/
domain. Experts differ from laypersons and novices in that
they recall information from memory more quickly,
organize and use it more quickly, and apply it to new
situations pertinently. True, personal constructs differ from
person to person depending on his/ her cognitive abilities,
learning styles, individual differences and affective factors.
Since knowledge may be built on faulty beliefs and misconceptions, the teachers goal is to ensure that personal constructs dont deviate much from the standard educational
model and help students to gradually form more complex
constructs.
Learning is a cognitive process. In the process of cognition
concepts (scientific and everyday) are formed and encoded
in the words of a language (lexicalization) (OGrady,
1997, p.280) related to particular conceptual content.
Natural languages supply different ways for encoding conceptualizations. Cognitive linguists claim that concepts do
not exist separately in our mind but are brought together
into conceptual systems by experience (Croft & Cruse,
2004, p.7) and contain non-linguistic information. At different times various names have been offered: frame
(Fillmore, 1982), schema (Anderson, 1977), script (Schank,
1977), ideals (Bregman, 1977), experiential gestalt (Lakoff,
1980), cognitive model (Lakoff, 1987; Evans, 2009),
cognitive complexity (Burleson, 1987), and some others.
Scientists stress that conceptual systems are capable of
organizing and classifying every imaginable aspect of our
experience (OGrady, 1977, p.276).

7) to comprehend something in that degree which is

sufficient for a certain purpose (Kant, 1908, pp.258-259).

Crowning it all is Kants assertion that knowledge is a

system and not merely an aggregate. Consequently,
knowledge must be arranged according to well-considered
rules and after a method (ibid., p.259).
It will not be an exaggeration to say that I. Kant has laid
down the foundation for modern cognitive didactics. His
ideas of conscious acquisition of knowledge, the role of
concepts in understanding, and selective approach to the
content of knowledge aimed at achieving a goal are a hallmark of modern pedagogical thinking. Modern educators
single out four types of knowledge: factual knowledge
which comprises the basic elements of a subject students
must know to be acquainted with it; conceptual knowledge
which consists of the interrelations among these basic
elements that enable them to function together; procedural
knowledge which means knowing how to do something
and having skills for it; and meta-cognitive knowledge
which includes the skills for elaborating strategies for how
to accomplish tasks or how to understand presented
information (Anderson, 2001). So, in modern science
knowledge does not only involve knowing some facts or
information, but the ability to apply this information to
various situations for achieving various goals. The
acquisition of these types of knowledge would lead to the
conception of two types of competences: cognitive

Modern views of language knowledge

According to cognitive scientists, language knowledge is
not different from any other type of knowledge, so it is
acquired, stored and retrieved according to the same
structural cognitive principles that operate in other areas.
Knowledge in the human mind is reflected in mental or
cognitive representations the basic units of human
knowledge stored in the mind. Mental representations are
information-bearing structures with which operations can
be performed in order to build recognition patterns
conducive to more complex knowledge (Paivio, 1990,

83

p.18). Mental representations vary in the degree of

abtractness and relate to words, concepts and situations.
There are at least two types of mental representations:
verbal and conceptual. A person first develops a verbal
representational system in his native language whereas
bilingual persons have two verbal representational systems
which are functionally connected to a common cognitive
or conceptual system. So the learner must develop new
mental representations and develop facility at accessing
those representations in a variety of circumstances
(Archibald, 1997, p.535), and it is essentially important to
learn the second language in direct association with
appropriate referents (Paivio, 1990, p.252).

a foreign language) though it is not a simple task in itself.

In this case it is advisable that the teacher check what
students already know or remind them about it. The
alternative situation presents more of a challenge. Students
lack the prerequisite knowledge so the teacher has to help
them build general/ specialized knowledge, form mental
representations of concepts in question and simultaneously
provide means of expressing new notions.
Cognitive Teaching
Concepts represent typical entities (prototypes) that have
bundles of typical features which we propose to describe
with the help of qualia. Since the term is used in different
meanings we deem it necessary at this point to explain at
some length our understanding of the term.

Cognitive model of learning

In order to successfully teach LSP we must understand
how knowledge is acquired, organized and stored in the
human mind, what factors affect it and make learning more
efficient. Among the many theories and models we have
chosen the cognitive model of learning introduced by
Derry (1990) as instrumental for our reasoning. The model
sheds light on the process of acquiring meaningful and
useful knowledge which gives teachers a clue to how the
teaching process may be organized.

What is Qualia?
The term has been used by philosophers, psychologists and
linguists. Though all scientists claim that it helps to answer
the question whats it like? about an object, the term has
a least two distinct interpretations. The first interpretation
goes back to J. Lockes secondary qualities of objects such
as colors, aromas, tastes, sounds (Locke, 1849) which have
traditionally been described in the philosophy of mind as
intrinsic qualities of conscious experience. The term qualia
was introduced in the philosophical literature by C. Lewis
in 1929 (Lewis, 1929). Since its introduction there have
been heated arguments whether a quale is something in the
brain or something in the external world, i. e. some
properties or powers of an object that can produce an
idea in our minds. But the question whether redness exists
in our minds or on a flowerbed of red roses still remains
unresolved.
Linguistics seems to have chosen a more fruitful approach
to qualia which can be traced to Aristotles fundamental or
primary causes (modes of explanation). Aristotle considered
that a man has knowledge if he knows the primary cause,
and he spoke of causes in four ways:
One cause we say to be the substance and the essence (the
primary why) and the second is the matter and substrate,
and the third is that from which comes the beginning of the
change, and the fourth is the opposite cause to this, the
wherefore and the good (for this is the end of all coming
into being) (Aristotle, 1998, p. 12).

Fig. 1. Cognitive Model of Learning.

In his book Generative Lexicon J. Pustejovsky drawing

on Aristotles primary causes came up with his idea of
qualia structure to be used in linguistic analysis. He postulates
that Qualia structure specifies four essential aspects of a
words meaning permitting a much richer description of a
concept:

As we can see, in this model prior knowledge (2) plays a

very important and active role in acquiring new knowledge
and comprehending new information. Prior knowledge
means previously accumulated mental representations of
various kinds referring to a certain domain or domains and
serving as building blocks for further expansion of
knowledge, interpretation of new experience and mutually
satisfactory communication. Novel objects are categorized,
filtered through and fitted into an already existing conceptual
system, in other words, success in learning depends on
whether the learner can combine the new with the known.

In his work the teacher may be confronted and have to deal

with two possible situations. First, the student has prior
knowledge about the subject matter (in his native language)
so he simply has to acquire new mental representations (in

Constitutive: the relation between an object and its

constituent parts;
Formal: that which distinguishes it within a larger
domain;
Telic: its purpose and function;
Agentive: factors involved in its origin or bringing it
about

Lexical items encode semantic information in the qualia

which drives our understanding of an object or a relation

84

in the world (Pustejovsky, 2001, p.76) because qualia

structure explains a word as denoting a particular concept
not as a lexical unit used in the language (ibid., p. 85). His
ideas gave an impetus to a series of very interesting researches on homonymy, metonymy, compounds, nominal
and prepositional phrases, possessive case, text interpretation
in different languages. However, qualia structure has been
unnoticed by language teachers, though Pustejovsky emphasizes its potent explanatory role. We intend to apply
qualia structure to teaching terminology and show how it
can be used.

long and colorful history and derivatives today being

named a culprit in the recent financial crisis and labeled as
financial weapons of mass destruction, it is evident that
no Business English class can bypass this topic. The
teachers task is to make this topic comprehensible and
accessible by revealing the controversial nature of
derivatives and showing what features make them useful
instruments and whether or not their danger is exorbitant.
Vocabulary Selection
Vocabulary selection is important for cognitive modeling
as we must establish what attributes populate the chosen
domain. To this end we analyzed a vast corpus of various
sources: the media both traditional and electronic),
glossaries, manuals, specialized textbooks (see Appendix
1). They vary in the number and variety of terms, ways
information is presented, and language difficulty. As a
result, we came to the conclusion that academic textbooks
for students studying financial markets and manuals compiled
by professionals for non-professionals interested in
investing best serve our objectives: glossaries seemed to us
too decontextualized and very few newspaper articles meet
the requirements of clarity and simplicity necessary at the
initial stage of learning. Textbooks and manuals, on the
contrary, contain clear explanations, precise definitions, and
the vocabulary that makes up the core of the terminological
system and reflects the cognitive structure of the conceptual
system in question. Thus, we have selected a compact list
of recurrent lexical units which constitute base knowledge
for learners and are sufficient for understanding specialized
texts and producing simple discourse.

Concept development via cognitive model

The dominant view held by cognitive scientists is that
knowledge is encoded as patterns of interconnected
conceptual systems in the human brain. Conceptual
development involves strengthening and enlarging these
connections. In everyday life patterns are derived and
multiple relationships are established from repeated
experience. However, in classroom teaching, given the
limited number of classes, simulation patterns should be
worked out by the teacher. These simulation patterns must
reflect the properties of the real environment. A cognitive
tool that meets these requirements is cognitive modeling.
By cognitive model we mean a theoretical construct which
represents a coherent non-linguistic knowledge structure
captured from multimodal experience (Evans, 2009, p.107).
It relates to a specific domain and is an approximation to a
phenomenon or process existing in reality but simplified
for teaching purposes.
Subject Matter

Explaining Concepts via Qualia Structure

For a more detailed analysis we have chosen a field of

notable difficulty OPTIONS. Options are part of a
broader domain of financial tools called derivatives. This
area of business activity contains a large number of words
and expressions used by professionals and experts which,
in our opinion, have different didactic value. With interest
in and trust to options waxing and waning throughout their

When explaining individual concepts to learners, for

example, what an option or a forward is, we resort to
qualia-structure. The aim is to help students apprehend the
concept and form a mental representation of it. We start
from the conceptual content and by asking the questions
involve students in concept explication.

Table 1. Qualia Structure Analysis of the Term Option.

OPTION
Qualia
Structure
What is it?
(formal)
What is it made of?
(constitutive)
How does it function?
(telic)
How is it used?
(agentive)

Conceptual Content
It is a contract giving the right to buy or sell an asset;

Call option; put option

Like any other contract it consists of terms: amount of a

commodity, price, delivery date and conditions (rights,
obligations, fees)
Insure against risks and speculate.

Underlying asset; strike/ exercise price;

expiration date/ expiry; premium

It is bought or sold on the OTC market or exchanges

Write; take

Hedge; speculate

exercise price [it remains unchanged during the whole

period]; the delivery date is called expiration date/ period/
expiry [European options can be exercised only at the date

After we see that students understand what an option is

(conceptual content) we can introduce the terms used to
discuss options (lexical content) and add some more
information1.The contract to buy an asset is a call option;
The contract to sell an asset is a put option; the price of an
underlying asset [asset to be bought or sold] is a strike/

Lexical Content

the option expires; American options can be exercised at

any time up to expiry which is why they are more
valuable]; The fee the buyer pays to the seller is called a
premium [the seller keeps it whether or not the buyer
exercises the option]. The seller of an option is called a

Additional information is shown in square brackets.

85

writer, the buyer may be called a taker. It may also be

worthwhile to compare and contrast options with their
peers: forwards, futures, and other financial instruments.
Comparing options with futures students will spot the main
distinctive feature: an option is a right to buy or sell
something, whereas a futures contract is an obligation
binding for both parties (difference in the formal function).
Further comparison of futures and forwards reveals their
distinctive feature: the former are sold on exchanges
whereas the latter can be bought only on the over-thecounter markets (difference in the agentive function). The
advantages of this mode of explanation become evident if
we compare them with dictionary definitions. The Longman
Dictionary of Contemporary English describes an option as
the right to buy or sell something at the stated time in the
future. It is a good definition because it reveals the
essence of the financial instrument, yet it does not expose
other features necessary for constructing a concept. Other
definitions are even less suitable for our purpose. Some of
them are somewhat misleading. For example, futures are
explained as contracts for goods to be bought or sold in
large quantities at the present price, but not produced or
sent till a later time. It is unclear what is meant by the
present price: the current market price or the price agreed
upon today. As far as the term forward is concerned,
there is no lexical entry for the noun at all. The forte of
qualia structure is that it reveals the protean properties of a
concept.

the movement of the market. The other benefit is LEVERAGE which means that a small input of money (premium)
opens up to the option holder a possibility of considerable
gains.

Concept Development and Cognitive Modeling

To consolidate this knowledge, the teacher is to compile

the HYRERTEXT by which we understand a collection of
excerpts from various sources, including some websites.
The main requirement to such texts at the initial level of
proficiency is that they should not be beyond students
capabilities or the acquired knowledge base which gives
students a sense of achievement. To check whether
students understand the nature of options the teacher may
ask some questions like how an investor can make money
with a put or a call, or what options lead to gains on a bull
or bear market.

3. Operations and results. The option buyer has three

options: either to exercise the contract or default on it, or
resell it on the open market before the expiration date. If
the option taker decides to exercise the option, the result
may be threefold. If it is advantageous for the holder, he is
said to be in-the-money; if it is not advantageous, he is outof-the-money; if the holder neither gains nor loses, he is atthe-money.
4. Types of options and their uses. The writer and the buyer
pursue different goals. The buyer may want to hedge possible risks of market volatility or speculate whereas the
objective of the seller is outright speculation. In order to
hedge risks a cautious investor may buy an option which is
called a straddle a simultaneous purchase of a call
option and a put option with the same strike price and
expiry date. This strategy is good if markets are extremely
volatile and the investor is afraid that his stock will falter
or go down. The writer willing to collect a premium and
escape going through with the trade has a useful instrument
at his disposal a strangle. It involves writing a call with
a very high strike price and a put with a very low strike
price which is supposed to discourage any option holder
from exercising it.

Initial stage of learning

Further work on the concept which we call concept
development involves exposing permanent links of the
concept in question. To make it more illuminating we
model these relationships with the help of a cognitive
model. We explicate the links of a financial instrument
with agents who use it, expound its types and uses, desired
and eventual results and so on (see Appendix 2). The
model designed may vary in depth and diversity depending
on the teaching objectives and students readiness to
absorb the information.

Advanced stage of learning

For more than half a century the options markets have displayed dramatic growth as more sophisticated products
have been introduced, new trading styles used, and new
uses of options have been tested. Innovative products and
procedures have given rise to an avalanche of new lexical
units. To achieve a better understanding of the subject area
and by way of expanding knowledge, we may go beyond
the initial stage and introduce a stratum of specialist
vocabulary pertaining to advanced knowledge acquisition.

1. Agents. The most important thing is to understand the

nature of the commitment of buyers and sellers. Buyers
have no obligations to do anything. They can simply let the
option expire, walk away from it. Sellers, on the contrary,
are required to go through with the trade if the buyer wants
to exercise the option. Graphically, it may be represented
as follows:
WRITER
(Seller)

obligations

BUYER
rights
(Taker)

5. Buying and selling styles. The most notable selling

styles are covered calls and naked calls. Writing a covered
call means selling the right to some other party to buy
stocks from you which you already own. A naked call
means selling an option that allows someone to buy from
you what you dont own. This is more risky because if this
person wants to exercise the option, you will have to buy
the stocks at the market price in order to sell them at the
agreed-upon price (strike price) to the buyer. Also, buying
styles present some interest. If an investor is worried about

rights
Diagram 1. The Legal Relationship Between the Buyer and the
Seller.

2. Benefits. When buying or selling an option both the

writer and the buyer want to benefit from it. Benefit to the
writer is the PREMIUM he gets and keeps. Benefit to the
buyer is INTRINSIC VALUE (the difference between the
strike price and the market price) if the buyer guesses right

86

price fluctuations of his stock he may buy a married put,

that is buy a stock and a put option on this stock at the
same time. If the price of the stock goes down, the investor
can exercise the option and offset the loss.

knowledge into an intricately knit, co-herent and

comprehensible structure.
Arguedly, these tools should be used judiciously and employed only if they serve the purpose of clarification.
Nevertheless, we believe that they serve well the purpose
of constructing knowledge at the initial stage and take
language learning and teaching to a higher, more sophisticated
level. Though it might seem a tall order, learning outcomes
may prove rewarding.

6. Market conditions. It is advisable to discuss how investors

can make money on spreads the difference between the
purchasing and the selling prices. For example, Bull spread
the purchase of a call option with a low exercise price
and the sale of a call option with a relatively high exercise
price. Buy low, sell high this strategy is suitable for
investors who are bullish. Other types of spreads are: Bear
spreads and Butterfly spreads.

References

7. Brokers speak. The market has worked out its own expressions of communication between brokers and
investors. For example, an investor may give his broker an
All-or-None order a type of option order which
requires that the order be executed completely or not at all,
or he may give a Down-and-Out order if the price of
the underlying asset falls below a preset level, the option is
not exercised. The more units a student learns at this stage,
the easier it will be for him to understand professional discourse. It is advisable at this level of proficiency to encourage students to read the press to be in the know what is
happening on the derivatives markets.

1.

Anderson, R. C. et al., 2001. Four Types of Knowledge. .http://www.

scribd.com/doc/14554355/Knowledge-Types-Revised. [Accessed 15 09
2010]

2.

Anderson, R. C., 1977. The Notion of Schemata and the Educational

Enterprise. In Anderson, R. C., Spiro, R. J., & Monatague, W. E. (eds.)
Schooling and the Acquisition of Knowledge. Lawrence Erlbaum
Associates, Hillsdale: N.J, pp.415431.

3.

Archibald, J., 1997. Second Language Acquisition. In: Contemporary

Linguistics. London & New York: Longman, pp.503539.

4.

Aristotle, 1998. The Metaphysics. London: Penguin Books.

5.

Bregman, A. S., 1977. Perception and Behavior as Compositions of

Ideals. In Cognitive Psychology, 9, pp.250292.

6.

Burleson, B. R., 1987. Cognitive Complexity. In McCroskey, J. C.&.

Daly, J. A. (eds.) Personality and Interpersonal Communication., Newbury Park CA: Sage, pp.305349.

7.

Croft, W., Cruse, A. D., 2004. Cognitive Linguistics, Cambridge: Cambridge University Press.

8.

Derry, S., 1990. Cognitive Model of Learning. http://www.longleaf.net/

ggrow/StrategicReader/StratModel.html [Accessed 15.09 2010].

9.

Derry, S., 1996. Cognitive Schema Theory in the Constructivist Debate.

In Educational Psychologist, 31(3/4), pp.163174.

10.

Ericsson, K. A. & Smith, J. (eds.), 1991. Toward A General Theory Of

Expertise: Prospects and limits. New York: Cambridge University Press.

11.

Evans, V., 2009. How Words Mean: Lexical Concepts, Cognitive Models
and Meaning Construction. Oxford: Oxford University Press.

12.

Fillmore, C. J., 1982. Frame Semantics. In Linguistics in the Morning

Calm. Seoul: Hanshin Publishing Co, pp.111137.

13.

Geeraerts, D., 2006. A Rough Guide To Cognitive Linguistics. In

Langacker, R. W., Geeaerts, D., Dirven, R., Taylor, J. R. (eds.) Cognitive
Linguistics Research 34. Berlin, New York: Mouton de Gruyter.

14.

Hoffman, R. R., 1992. The Psychology of Expertise: Cognitive and

Empirical Research. New York: AI. Springer-Verlag.

15.

Kant, I., 1908. The Educational Theory of Immanuel Kant. Translated and
Edited by Edward Franklin Buchner. Philadelphia, U.S.A.: Lippincott
Company.

16.

Kelly, G. A., 1955. Principles of Personal Construct Psychology. New

York: Norton.

17.

Lakoff, G., Johnson, M., 1980. Metaphors We Live By. Chicago:

University of Chicago Press.

18.

Lakoff, G., 1987. Cognitive Models and Prototype Theory. In Ulric

Neisser (ed). Concepts and Conceptual Development: Ecological and
Intellectual Factors in Categorization. New York: Cambridge University
Press, pp.63100.

19.

Lewis, C. I., 1929. Mind and the World Order: Outline of a Theory of
Knowledge. New York: Charles Scribners.

20.

Locke, J., 1849. An Essay Concerning Human Understanding. 13 ed.

Cheapside, London: William Tegg & Co.

21.

OGrady, W., 1997. Semantics: the Analysis of Meaning. In:

Contemporary Linguistics. London & New York: Longman, pp.267312.

22.

Paivio, A., 1990. Mental Representations: a Dual Coding Approach,

Oxford: Oxford University Press,.

23.

Pustejovsky, J., 2001. The Generative Lexicon. Massachusetts Institute of

Technology.

24.

Schank, R. C, Abelson, R., 1977. Scripts, Plans, Goals, and

Understanding, Earlbaum Assoc. New York: Hillsdale.

Conclusion
In his lectures, I. Kant told his students,we know only so
much as we hold in the memory and we easily forget what
we do not understand. Understanding and memorizing are
entwined in the construction of knowledge. So, coherent
presentation of information to be properly learned is of
primary importance. Having assumed that mental modeling
is the basis of human knowledge, we have attempted to
show, hopefully convincingly, that comprehension-directed
teaching at the initial stage of ESP acquisition can make
effective use of two cognitive tools: qualia structure and
cognitive model. It is worth summing up their advantages
and plausibility.
1.

2.

As terms play a pivotal role in professional

communication and the distinctive feature of terms is
the underlying concept, we have tried to find a tool
that would optimize concept learning, and we believe
that the Qualia structure tool serves this end. Qualia
structure is the model we developed in order to expose
conceptual nature of a term by partitioning content
into four cognitive roles (formal, constitutive, telic and
agentive) to give a multifaceted picture and highlight
the distinctive properties of the concept. The other part
of a term linguistic content is represented by
various lexical units which mediate conceptual
representations in speech.
Since any knowledge system functions as a domain,
information is stored in long-term memory in organized
fashion. Learning of terminology may be effectively
enhanced by structuring it via establishing multiple
links of the key concepts. The instrument that meets
this objective is cognitive model which is a simulation
of reality and converts unstructured inventories of

87

25.

Thagard, P., 2005. Mind. Introduction to Cognitive Science. Second

edition, Massachusetts: MIT.

26.

Wster, E., 1974. General Terminology Theory Fine Line between

Linguistics, Logic, Ontology, Information Science and Business Sciences.
In Linguistics (119), pp.61106.

Natalya Davidko
Kognityvinis poiris angl kalbos specialiems tikslams dstym
Santrauka
io straipsnio tikslas yra aptarti, kaip dvikalbiai studentai sisavina specializuotas inias. Straipsnyje pateikiama trumpa vairaus tipo ini ir j sisavinimo dabartini traktuoi apvalga. Pabriama ini, kaip pirmins slygos tolesniam mokymuisi ir bendravimui, svarba. Teorinis silomo poirio
pamatas randasi i iuolaikinio kognityvinio mokslo, taip pat i filosofijos ini, kurios stipriai remiasi 17 ir 18 ami empirik darbais. inios yra kaupiamos kaip mentalins reprezentacijos, kurios turi konceptualj ir lingvistin turin. Terminai yra specifiniai vienetai, kuriuose konceptualaus ir lingvistinio turinio uduotis yra taip ireikta, kad j negalima neatsivelgti mokymo procese. Konceptualiojo turinio aikinimui yra naudojama qualia struktra. Kitas kognityviniame mokyme naudojamas rankis yra kognityvinis modelis, kurio tikslas yra isiaikinti konceptualius organizuojanius principus, sukuriant dauginius ryius su kitomis svokomis. Tiktina, kad ie veiksmai gali bti taikomi bet kurioje verslo terminologijos srityje.
Straipsnis teiktas 2010 06
Parengtas spaudai 2010 12
The author
Natalya Davidko, PhD, associated professor, lecturer at Moscow Institute TOURO (MIT), head of the Humanities department,
Academic interests: Linguistics: Language and business, business terminology, cognitive linguistics. Didactics: teaching English as Second Language.
Address: 20 Podsosensky Pereulok, Moscow, Russia,
E-mail: [email protected]; DavidkoNatalya@ touro.ru.

APPENDIXES
Appendix 1. Samples of Texts Analyzed
TEXTBOOK:

MANUAL:

Investors who buy options acquire

nothing more than the right to subsequently buy or sell another related
asset. That is, an option gives the
holder the right to buy or sell a
certain amount of the underlying
asset at a specified price (strike or
exercise price) over a specified
period of time (expiration date).
Options are contractual instruments
whereby two parties enter into a contract to give something of value to
each other. The option buyer has the
right to buy or sell the underlying
asset. The option seller stands ready
to sell or buy the underlying asset
according to the terms of the contract
for which the seller has been paid a
certain amount of money (premium).
Much of the popularity of options
stems from the fact investors can buy
a lot of price action with a limited
amount of capital (leverage) and always enjoying limited exposure to
risk. A put enables the holder to sell
the underlying security, a call, in
contrast, gives the holder the right to
buy the securities.

Hedging Instruments

Puts and calls are a unique type of

security because they are not issued
by organizations that issue the underlying stock or financial asset. Instead, they are created by investors.
The individual writing an option is
known as the option maker or writer.
He can now sell the option in the
market. The put or call now is a fullfledged financial asset and trades in
the open market like any other

Volatile exchange rates in recent weeks have sent

many a nervous boss scurrying to his finance
department to check up on its currency-hedging
strategy.

An option contract conveys the right, but not the

obligation, to either buy or sell a commodity at a
fixed price at a fixed future date or at any time
during a fixed future period. An option to purchase
is a call option; an option to sell is a put option. The
price at which the option can be exercised is known
as a strike or exercise price.
The purchaser (or taker) will pay a premium for the
right to exercise the option. In exchange for the
premium, the purchaser will limit his risk to the
price volatility whilst retaining unlimited potential to
profit if price movements are favorable. The writer
of the option in return for taking on unlimited risk
receives the premium.
Where it would be advantageous for the holder to
exercise the option, the option is said to be in the
money. An option is out of the money if the
exercise is not advantageous. An option is at the
money where the market value of the underlying
transaction is equal to the strike price. And finally,
DOOM deep out of the money
(The Financial Jungle Guide to Financial
Instruments, Chapter 5, p.417).
JOURNAL:
Lost in a maze of hedges

Few firms can hedge all, or even most, of their risk

naturally. So many hedge actively in the financial
markets, mainly using forward contracts and
options
The trouble with forward contracts is that they are
irrevocable. Options which give firms the right,

88

INVESTOPEDIA
An option is a contract that gives the buyer the right, but not
the obligation, to buy or sell an underlying asset at a specific
price on or before a certain date. An option, just like a stock
or bond, is a security.
The contract has two very important points. First, when you
buy an option, you have a right but not an obligation to do
something. You can always let the expiration date go by, at
which point the option becomes worthless. If this happens,
you lose 100% of your investment, which is the money you
used to pay for the option (premium). Second, an option is
merely a contract that deals with an underlying asset. For
this reason, options are called derivatives, which means an
option derives its value from something else.
The two types of options are calls and puts: A call gives the
holder the right to buy an asset at a certain price within a
specific period of time. A put gives the holder the right to
sell an asset at a certain price within a specific period of
time.
There are four types of participants in options markets
depending on the position they take:
1. Buyers of calls
2. Sellers of calls
3. Buyers of puts
4. Sellers of puts
People who buy options are called holders and those who
sell options are called writers;
Here is the important distinction between buyers and
sellers:-Call holders and put holders (buyers) are not
obligated to buy or sell. They have the choice to exercise
their rights if they choose.
Call writers and put writers (sellers), however, are obligated
to buy or sell.
The Lingo
To trade options, you'll have to know the terminology
associated with the options market.
The price at which an underlying stock can be purchased or

security.
For the most part, options are used in
three different kinds of trading
strategies: (1) buying put and calls
for speculation, (2) hedging with puts
and calls, (3) option writing and
spreading.
(Gitman, L. J. & Joennk, D., 2005.
Fundamentals of Investing (9th
edition), Boston, pp.641-642.

but not the obligation, to use a particular forward

contract are more flexible. Imagine that a British
exporter buys a put to sell dollars in three months at
a forward rate. If the exchange rate moves against
the firm, it can exercise its option and limit the
damage; it the rate goes in its favor, it can let the
option lapse and enjoy the windfall.
Firms seem to use forward contracts twice as much
as options. One reason is cost. Options are expensive
and must be paid for whether or not they are used.

sold is called the strike price. This is the price a stock price
must go above (for calls) or go below (for puts) before a
position can be exercised for a profit. All of this must occur
before the expiration date.
An option that is traded on a national options exchange such
as the Chicago Board Options Exchange (CBOE) is known
as a listed option.
(http://www.investopedia.com/university/options/option.asp)

(The Economist, Oct 3rd 1992, p.76.)

Appendix 2. Cognitive Model of the Options Domain

bull spread

bear spread

intrinsic
value

leverage

speculates

strangle
naked call

sells

benefits
purpose

resells
obligations
rights

covered call

Writer

benefit

Buyer
pays

defaults
purpose

uses
married put

hedges
premium
exercises

in-the-money

89

at-the-money

straddle

out-of-themoney