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# Colonial Economic System Objectives

## Definition

The goals that different approaches to colonial management seek to achieve, including economic development, revenue generation, political control, and mutual benefit. More open systems typically achieve these objectives more effectively than restrictive monopoly arrangements.

## Source Chapter

Book IV, Chapter 7

## Context

Smith examines the objectives of different colonial policies, arguing that monopoly approaches often fail to achieve their stated goals while creating numerous negative consequences. He contends that more open arrangements would better achieve objectives of development and mutual benefit.

## Economic Domain

Regulation

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