Specialisation and the division of labour Flashcards Preview

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Flashcards in Specialisation and the division of labour Deck (7)
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1

Specialisation

when a worker, firm or country produces just one or a narrow range of goods or services.

2

Division of labour

The breaking down of the production process into separate stages, with workers specialising in particular tasks.

3

Worker specialisation =

Division of labour

4

Uses of Specialisation and Division of Labour

Mass production of standardised products

5

Advantages of Specialisation and Division of Labour

1) Time saving as workers do not need to switch task, tools or location.
2) Workers specialise in the jobs best suited to their abilities.
3) Less training as it is only needed for the specific task.
4) Businesses can invest in specialist capital equipment.
5) Repetition raises productivity, which increases output, and increases efficiency, which decreases average production costs.

6

Disadvantages of Specialisation and Division of Labour

1) Repetitive work can be boring, leading to demotivation, which results in lower morale, which means workers may lose concentration, which may cause mistakes to occur.
2) Worker absenteeism or production blockages (“bottlenecks”) may slow down or stop production.
Workers might become over-specialised, which can result in structural unemployment

7

Money and Division of Labour

Division of labour → increased worker specialisation → less chance of coincidence of wants → more difficult to barter → greater need for a medium of exchange → money is more important.