specialisation

Question 1

Specialisation

Answer 1

production of a limited range of goods by a
company/individual/country which means that trade is essential as it is the only way
they are able to access all that they need

Question 2

Specialisation

Answer 2

production of a limited range of goods by a
company/individual/country which means that trade is essential as it is the only way
they are able to access all that they need

Question 3

division of labour

Answer 3

when labour becomes specialised in a particular part of the
production process

Question 4

maximise the amount of goods and
services

Answer 4

need to ensure that all factors of production,
including workers, undertake the tasks that they are best at.

Question 5

Adam Smith

Answer 5

increase labour productivity (output per worker), allowing firms
to increase efficiency and lower their costs of production

Question 6

Advantages of specialisation

Answer 6

labour productivity to be increased
higher quality of goods and services
develop specialist tools
Time is not wasted
trained to do one specific task- less time and money

Question 7

Disadvantages of specialisation

Answer 7

poor quality of work
less motivation
reduction of craftsmanship
structural unemployment

Question 8

Function of money

Answer 8

Medium of exchange
Measure of value
Store of value
Mathis of deferred payment