A manufacturer of electric scooters transitions its factory floor from a system where individual workers assemble complete scooters to a highly specialised assembly line where each worker performs a single, repetitive task.
Which row in the table below correctly identifies the most likely impact of this division of labour on the firm's average cost of production and its vulnerability to production bottlenecks?
| Average cost of production | Vulnerability to production bottlenecks | |
|---|---|---|
| A | Increases | Decreases |
| B | Decreases | Increases |
| C | Decreases | Decreases |
| D | Increases | Increases |
Row A
Row B
Row C
Row D
35 exam-style questions on OCR A Level Economics Specialisation and trade. Each one has a worked solution and a mark scheme showing where the marks go.