when individuals, firms, regions or countries concentrate on producing specific goods or services
define division of labour
occurs where production is broken down into separate tasks, this increase in productivity helps to lower cost per unit and leads to lower prices for consumers
2 advantages of specialisation
higher productivity (output) and efficiency
higher quality products
2 disadvantages of specialisation for workers
rise of structural unemployment dues to occupational immobility
rise of worker alienation (boring and monotonous work is poorer in quality and there is less output per person)
