When tasks in an economy are specialized, which of the following is most likely to occur?

• A. The variety of goods produced in the economy decreases.
• B. Workers become less efficient at their jobs.
• C. The need for factors of production decreases.
• D. Productivity increases due to workers focusing on specific tasks.

Answer: (D)

Verified step by step guidance

1. Understand the concept of specialization in microeconomics: it refers to individuals or firms focusing on a narrow range of tasks or production activities to increase efficiency.
2. Recognize that specialization allows workers to become more skilled and efficient at their specific tasks, which leads to an increase in productivity.
3. Consider the impact of specialization on the variety of goods: specialization typically leads to an increase, not a decrease, in the variety of goods because different producers focus on different products.
4. Analyze the effect on the need for factors of production: specialization does not reduce the need for inputs like labor, capital, or land; rather, it optimizes their use.
5. Conclude that the most likely outcome of specialization is an increase in productivity due to workers focusing on specific tasks, improving efficiency and output.