Summary 1.1.5 Specialisation and the Division of labour - Edexcel economics notes
7 views 0 purchase
Course
Nature of economicss
Institution
PEARSON (PEARSON)
Specialisation, Division of Labour, Advantages and disadvantages of division of labour both for the employer and the employee.
Characteristics of money
Functions of money: Medium of exchange, Measure of value, Store of value, Method of deferred payment
Forms of money
Specialisation:
◦Production of a limited range of goods by an individual, rm or country in co-operation with
others so that together a complete range of goods is produced
Division of Labour:
◦Dividing the workforce into sections in which each worker specialises in a particular task
◦Specialisation of individuals
These steps should help to increase productivity which in turn helps to get rid of the basic economic
problem of scarcity
Advantages:
◦Employee:
‣ Become an expert
◦Employer:
‣ Increase in labour productivity
‣ Increase in ine ciency of resources
‣ Increase in quality of output
Disadvantages:
◦Employee:
‣ Repetition creates monotony
‣ Makes it easier to replace workers with machines
‣ Can lead to blame culture
◦Employer:
‣ Creates interdependence in production
‣ Quality could su er due to an unmotivated workforce
Specialisation:
◦By world specialisation and trade global production possibility increases
◦Countries should specialise in the goods for which they have the lowest opportunity cost to
produce
Characteristics of Money:
◦Durability
◦Portable
◦Divisible
◦Hard to counterfeit
◦Generally accepted by population
◦Valuable
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying these notes from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller belenkii04. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for $11.13. You're not tied to anything after your purchase.
