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1.4 Production, costs and revenue

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Question 52

A large-scale medical diagnostics laboratory transitions from a system where individual technicians conduct entire multi-stage blood tests to a highly specialized system where each technician is responsible for a single, repetitive step of the testing process.

Which one of the following is the most likely microeconomic outcome of this increased division of labour?

An increase in the time wasted by technicians transitioning between different testing instruments

A rise in the average cost of training required for new staff to become productive

A reduction in the unit cost of testing due to gains in worker speed and dexterity at specific tasks

An expansion in the range of transferable skills acquired by individual technicians

1.4 Production, costs and revenue Questions

  1. A Level
  2. /Economics
  3. /1.4 Production, costs and revenue