Total output in an economy increases when each person specializes because
A)there is less competition for the same resources.
B)each person spends more time producing that product in which he or she has a comparative advantage.
C)a wider variety of products will be produced within each country due to specialization.
D)government necessarily plays a larger role in the economy due to specialization.

Question

Quizplus · Accepted Answer

Specialization allows individuals to focus on the production of goods and services for which they have a comparative advantage, leading to increased efficiency and total output in the economy.

Total Output in an Economy Increases When Each Person Specializes