Asked by Martevus Blount on Jun 29, 2024
Verified
Specialization may expand total output even though the individuals involved may have identical abilities.
Specialization
The use of the resources of an individual, a firm, a region, or a nation to concentrate production on one or a small number of goods and services.
Total Output
The total amount of goods or services produced by an economy, industry, company, or individual over a specific period.
- Understand the drawbacks of self-sufficiency when contrasted with the advantages of focusing on specialization and engaging in trade.
Verified Answer
IP
Isabel PinheiroJun 30, 2024
Final Answer :
True
Explanation :
Specialization allows people to focus and become highly skilled in a specific task, leading to increased productivity and efficiency, which ultimately results in an expansion of total output. This is known as the division of labor. Even if individuals have identical abilities, they can still maximize their potential output through specialization.
Learning Objectives
- Understand the drawbacks of self-sufficiency when contrasted with the advantages of focusing on specialization and engaging in trade.