Specialization Limits Worker Opportunities

Steps:

• Identify the core feature: Saudi Arabia's focus on oil, a capital-intensive sector needing skilled labor.
• Link to disadvantages: Specialization narrows economic activities, reducing job variety.
• Evaluate choices: Check each against capital-intensive traits and specialization effects.
• Select best: Option showing direct impact on workers in a specialized economy.

Why D is correct:

• Specialization in economics concentrates resources in one sector, limiting job diversity and restricting workers to few career paths per the principle of comparative advantage.

Why the others are wrong:

• A: Highly skilled labor implies specialized, not multi-skilled, training; costs are typical, not a disadvantage here.
• B: Capital-intensive industries like oil easily achieve economies of scale through large investments.
• C: Narrow production is the intent of specialization for efficiency, not inefficiency in resource allocation.

Final answer: D