The Division of Labor Facilitates Productivity Increases for All of the Following

question 78

Multiple Choice

The division of labor facilitates productivity increases for all of the following reasons, except one.Which is the exception?

• A)It allows people to do those tasks for which they have the greatest natural ability.
• B)Workers get better at tasks, the more they repeat them.
• C)The more experience workers gain by specializing in a task, the more likely they will enjoy that task.
• D)More sophisticated production techniques are introduced.
• E)The division of labor often permits the introduction of labor-saving machinery.

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Definitions:

Marginal Costs

The additonal cost incurred by producing one more unit of a product or service.

Elasticity of Demand

The elasticity of demand measures how responsive the quantity demanded of a good or service is to a change in its price, indicating the sensitivity of consumers to price changes.

Price Discrimination

A pricing strategy where identical or substantially similar goods or services are sold at different prices by the same provider in different markets or to different customers.

Natural Monopoly

A market condition in which a single firm can supply a product or service to an entire market at a lower cost than could two or more firms, often due to economies of scale.