# Economic Development Constraints

## Definition

The various factors that limit economic development and the division of labour, including geographical barriers, transportation costs, political obstacles, and market size limitations. Economic development constraints explain why some regions cannot achieve the same level of economic organisation as others.

## Source Chapter

Book I, Chapter 3

## Context

Smith identifies multiple economic development constraints: frozen oceans preventing navigation, distant rivers limiting inland trade, political control over waterways obstructing commerce, and small market sizes preventing specialisation.

## Economic Domain

General Theory

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