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# Colonial Economic System Outcomes

## Definition

The actual results produced by different approaches to colonial management, including economic development levels, revenue generation, political stability, and mutual benefit. More open systems consistently produce better outcomes than restrictive monopoly arrangements.

## Source Chapter

Book IV, Chapter 7

## Context

Smith analyzes the outcomes of different colonial policies, demonstrating that monopoly approaches consistently produce suboptimal results. He argues that more open arrangements would generate better economic and political outcomes for both colonies and the mother country.

## Economic Domain

General Theory

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