Learning Path
Question & Answer1
Understand Question2
Review Options3
Learn Explanation4
Explore TopicChoose the Best Answer
A
To increase overall satisfaction without considering costs
B
To reduce opportunity costs and maximize efficiency
C
To diversify their product range regardless of market demand
D
To incur higher costs for the sake of variety
Understanding the Answer
Let's break down why this is correct
Answer
Individuals or businesses often choose to specialize in a particular task or product because it allows them to become more efficient and productive. When someone focuses on one area, they can develop better skills and knowledge, which helps them produce more in less time. For example, a baker who only makes bread can perfect their techniques and create higher quality loaves compared to someone who also tries to make cakes and cookies. This specialization leads to a greater output, making it easier to trade with others who specialize in different products, benefiting everyone involved. Ultimately, by focusing on what they do best, they can maximize their overall gains and improve economic efficiency.
Detailed Explanation
Specializing helps people and businesses focus on what they do best. Other options are incorrect because Some might think that focusing only on satisfaction is enough; The idea here is that variety is always good.
Key Concepts
marginal analysis
specialization
Topic
Trade-offs in Economics
Difficulty
medium level question
Cognitive Level
understand
Ready to Master More Topics?
Join thousands of students using Seekh's interactive learning platform to excel in their studies with personalized practice and detailed explanations.