An arrangement in which workers perform only one step or a few steps in a larger production process (as when working on an assembly line).

The purchase of capital goods (including machinery, technology or new buildings) that are used to produce goods and services. In personal finance, the amount of money invested in stocks, bonds, mutual funds and other investment instruments.

The amount of output (goods and services) produced per unit of input (productive resources) used.

A situation in which people produce a narrower range of goods and services than they consume. Specialization increases productivity; it also requires trade and increases interdependence.