Economics 9708 · AS & A Level · 7.7

7.7 — practice question

In a clothing business, once specialisation had been introduced, real output per worker rose during the first six months, but after that output per worker started to decline. What would be the most likely reason for the drop in productivity?

  • AAn increase in output per worker in the long run depends on an increase in pay.
  • BAn increase in output per worker requires more capital.
  • CSpecialisation means workers lose skills.
  • DWorkers get bored if they are repeating the same work.

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