Bartering: Specialisation

Specialization

The situation where an individual focuses on a particular task and becomes an expert in doing so.

Bartering

The exchange of goods and services without the use of money.

Direct Production

Producing products for personal use without the help of others, such as subsistence farming.

Indirect Production

Production of goods and services on a large scale mainly for selling.

Division of Labor

The assignment of different tasks to different persons to achieve efficiency.

Specialization of Labor

The separation of larger tasks into smaller tasks assigned to different workers based on their skills and knowledge.

Levels of Specialization

Different categories in which specialization can occur, such as by product, process, firm, industry, region, and nation.

Advantages of Specialization

Benefits such as time savings in training, increased productivity, and standardized products leading to less wastage and errors.

Disadvantages of Specialization

Drawbacks including decreased motivation, loss of individual craftsmanship, disruption of production processes, and occupational immobility.

Subsistence Farming

A form of direct production where individuals grow food primarily for their own consumption.

Surplus

An amount of goods produced that is greater than the individual's needs.

Efficiency

Achieving maximum productivity with minimum wasted effort or expense.

Occupational Immobility

Difficulty in finding jobs outside of one's area of specialization.

Craftsmanship

The skill and artistry involved in creating goods, which may be lost due to specialization.

Productivity

The output produced per individual or unit of input in a given time frame.