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# Agricultural Surplus

## Definition

The excess produce from agricultural land beyond what is required to maintain the farmers, laborers, and livestock necessary for cultivation. This surplus forms the basis for rent payments to landlords and supports non-agricultural economic activities.

## Source Chapter

Book I, Chapter 11

## Context

Smith argues that rent is fundamentally based on agricultural surplus, as it represents the portion of production that remains after all necessary costs of cultivation have been met.

## Economic Domain

Production

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