Division of labour

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The division of labour is the separation of the tasks in any economic system or organisation so that participants may specialise (specialisation). Individuals, organisations, and nations are endowed with, or acquire, specialised capabilities and either form combinations or trade to take advantage of others' capabilities in addition to their own. Specialised capabilities may include equipment, natural resources, and skills. Training and the integration of equipment and other assets are often important. For example, an individual may specialise by acquiring tools and the skills to use them effectively, just as an organisation may specialise by acquiring specialised equipment and hiring or training skilled operators. The division of labour is the motive for trade and the source of economic interdependence. An increasing division of labour is associated with the growth of total output and trade, the rise of capitalism, and the increasing complexity of industrialised processes. The concept and...

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