00:01
Adam smith introduced the concept of the division of labor with an example of making a pin.
00:04
Describe why the division of labor increases production.
00:07
According to adam smith, dividing the production process into different parts or stages can help the workers to concentrate on the specific tasks that are their area of specialization.
00:18
Therefore, this theory advocates that a complex work should be broken into its subtasks or components and workers should be trained in performing these subtasks as opposed to handling the entire task.
00:29
The division of labor is advantageous to society in general, according to smith, as it helps in improving productivity and increases the extent of the market.
00:37
And this is because when we break it down and if each person is specialized and doing one specific task, they become really good and efficient at that one task and can do it quickly as opposed if they're responsible for every task, they're not going to be as quick about them and because they have to remember more things.
00:55
The division of labor can help in improving the exchange relationship in society.
00:59
And increase cooperation within it...