The Division of Labor, Coordination Costs, and Knowledge
This paper considers specialization and the division of labor. A more extensive division of labor raises productivity because returns to the time spent on tasks are usually greater to workers who concentrate on a narrower range of skills. The traditional discussion of the division of labor emphasizes the limitations to specialization imposed by the extent of the market. We claim that the degree of specialization is more often determined by other considerations. Especially emphasized are various costs of "coordinating" specialized workers who perform complementary tasks, and the amount of general knowledge available.
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|Date of creation:||1991|
|Date of revision:|
|Contact details of provider:|| Postal: UNIVERSITY OF CHICAGO, ECONOMICS RESEARCH CENTER, NORC, CHICAGO ILLINOIS 60637 U.S.A.|
Web page: http://economics.uchicago.edu/research.shtml
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References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Bengt Holmstrom, 1981.
"Moral Hazard in Teams,"
471, Northwestern University, Center for Mathematical Studies in Economics and Management Science.
- repec:pri:indrel:265 is not listed on IDEAS
- David Card & Alan Krueger, 1990. "Does School Quality Matter? Returns to Education and the Characteristics of Public Schools in the United States," Working Papers 645, Princeton University, Department of Economics, Industrial Relations Section..
- Lancaster, Kelvin, 1975. "Socially Optimal Product Differentiation," American Economic Review, American Economic Association, vol. 65(4), pages 567-85, September.
- V.V. Chari & Larry E. Jones, 2000.
"A reconsideration of the problem of social cost: Free riders and monopolists,"
Springer;Society for the Advancement of Economic Theory (SAET), vol. 16(1), pages 1-22.
- V. V. Chari & Larry E. Jones, 1991. "A reconsideration of the problem of social cost: free riders and monopolists," Staff Report 142, Federal Reserve Bank of Minneapolis.
- repec:fth:prinin:265 is not listed on IDEAS
- George J. Stigler, 1951. "The Division of Labor is Limited by the Extent of the Market," Journal of Political Economy, University of Chicago Press, vol. 59, pages 185.
- Locay, Luis, 1990. "Economic Development and the Division of Production between Households and Markets," Journal of Political Economy, University of Chicago Press, vol. 98(5), pages 965-82, October.
- Card, David & Krueger, Alan B, 1992.
"Does School Quality Matter? Returns to Education and the Characteristics of Public Schools in the United States,"
Journal of Political Economy,
University of Chicago Press, vol. 100(1), pages 1-40, February.
- David Card & Alan Krueger, 1990. "Does School Quality Matter? Returns to Education and the Characteristics of Public Schools in the United States," NBER Working Papers 3358, National Bureau of Economic Research, Inc.
- Baumgardner, James R, 1988. "The Division of Labor, Local Markets, and Worker Organization," Journal of Political Economy, University of Chicago Press, vol. 96(3), pages 509-27, June.
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