When economists say that money promotes ________, they mean that money encourages specialization and the division of labour.

Question

Quizplus · Accepted Answer

Money makes it easier for individuals to specialize and trade their skills and goods with others who have different skills and goods. This specialization and exchange lead to higher efficiency as each person can focus on what they are best at, leading to a greater overall output of goods and services.

When Economists Say That Money Promotes ________, They Mean That