Specialisation is one of those concepts that we often take for granted, but which underpins some important economic analysis.
Perhaps the most obvious place to see specialisation in action is on the factory floor, where it is combined with division of labour to improve the productivity of labour. Early economists such as Adam Smith and Sir William Petty wrote about these issues, pointing out that if workers specialised in performing particular activities as part of the production process, overall efficiency could be improved. Apart from anything else, there would be gains because workers would not have to keep switching between different activities.
Your organisation does not have access to this article.
Sign up today to give your students the edge they need to achieve their best grades with subject expertise
Subscribe
