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specialisation & division of labour - Coggle Diagram
specialisation & division of labour
specialisation is the concentration of a worker, firm, region or country to produce a narrow range of products or services
benefits
trade increase
productivity increases
become more skillled
drawbacks
changes in tastes and fashions
relies on weather and climates
national dependance
division of labour occurs where production is broken down into many seperate tasks
raises output per person as people become proefficient due to repeititve work
called learning by doing
the gain in productivity helps lower the supply the cost per unit
reduced supply costs in theory leads to lower prices for consumers causing gains in economic welfare
advantages
become more skilled
time saved
improves productivity
disadvantages
unrewarding
high worker turnover
take less pride in their work
sectors of the economy
primary- raw materials
secondary-manufacturing
tertiary- services