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Economics miscellaneous

  1. Division of labour is limited by
    1. the number of workers
    2. hours of work
    3. extent of the market
    4. working space
Correct Option: C

Division of labour is a process whereby the production process is broken down into a sequence of stages and workers are assigned to particular stages. As it is the power of exchanging that gives occasion to the division of labour, so the extent of this division must always be limited by the extent of that power, or, in other words, by the extent of the market. When the market is very small, no person can have any encouragement to dedicate himself entirely to one employment.



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