In business organizations, the specialization of workers and their assignments to different tasks is called:
a. division of labor.
b. capital efficiency.
c. product differentiation.
d. labor productivity.
A
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A knowledge spillover occurs when firms:
a. restrict trade of inputs with each other. b. have wasteful expenditure. c. mimic the successful innovations of other firms. d. keep secrets from other firms.
In recent years unemployment rates in several European countries have been higher than unemployment rates in the United States. Many economists believe that European unemployment rates have been higher because
A) European firms hire many seasonal workers from other countries, and this tends to inflate unemployment rates in their countries. B) of the different methods used to measure unemployment. If similar methods were used, unemployment rates in Europe and the United States would be about the same. C) the size of the military is much larger in the United States and all military personnel are classified as employed. D) unemployment benefits are more generous in Europe than in the United States.