division of labour
- Created by: katier1234
- Created on: 06-11-19 17:58
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- Specialisation, division of labour and exchange
- Specialisation- is when an economy or business concentrates on a particular product or task
- Gains from Specialisation- higher output as total production of goods and services and quality can be raised. Variety so consumers can have access to a greater variety of products
- Division of labour- is a particular type of specialisation where the production of a good is broken up into many separate tasks each performed by one person or a small group of people.
- Benefits of division of labour
- More output
- It more efficient
- less chance of mistakes
- cheaper production costs
- Saving time
- Limitations of division of labour
- Less variety as they are mass produced
- demotivated staff so quality decreases
- long line of communication
- high turnover of staff
- higher absenteeism
- Benefits of division of labour
- Trade and Exchange
- This is because workers who specialise cant enjoy a reasonable standard of living if they can only consume what they produce
- so the solution is to produce a surplus of products and trade with others for products produced by them
- so the solution is to produce a surplus of products and trade with others for products produced by them
- These days we use money as a medium of exchange
- This is because workers who specialise cant enjoy a reasonable standard of living if they can only consume what they produce
- Specialisation- is when an economy or business concentrates on a particular product or task
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