Division of labour and wage payment methods

Question 1

Division of labour

Answer 1

● Practice makes perfect
● Chooses the best person for the job
● Saves time in training

Question 2

Occupational mobility

Answer 2

easiness and willingness to change from one job to another

Question 3

Geographical mobility

Answer 3

easiness and willingness to change from one location to another

Question 4

Time rate (for employers)

Answer 4

● Lower cost of monitoring output quality
● Lower cost of measuring output quantity

Question 5

Time rate (for employees)

Answer 5

● Can have more stable income

Question 6

Piece rate (for employers)

Answer 6

● Lower cost of supervising workers
● Higher labour productivity

Question 7

Basic salary plus commission (for employers)

Answer 7

● Lower cost of supervising workers
● Higher labour productivity

Question 8

Profit-sharing / Tips (for employers)

Answer 8

● Part of business risks is being shared
● Lower cost of supervising workers

Question 9

Other methods besides time rate (for employees)

Answer 9

● Can earn more by working harder