A software development company transitions from using 'full-stack' developers who build entire web applications individually, to a highly structured system where separate teams are solely responsible for database architecture, backend API logic, frontend user interfaces, and automated testing respectively.
According to economic theory on the division of labour, which of the following is the most likely risk or disadvantage to the company resulting from this transition?
A reduction in the average cost and difficulty of recruiting highly specialised staff
Increased vulnerability to production bottlenecks if any single specialised team experiences delays
An increase in the total time developers waste when switching between different programming tasks
A decline in the overall quality of the software due to a lack of specialised expertise within each team
19 exam-style questions on Edexcel A A Level Economics 1.1.5 Specialisation and the division of labour. Each one has a worked solution and a mark scheme showing where the marks go.