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# Colonial Economic System Design

## Definition

The structure and rules governing colonial economic relationships, including trade regulations, production controls, and market access policies. Better system design based on economic principles produces more effective and beneficial outcomes.

## Source Chapter

Book IV, Chapter 7

## Context

Smith advocates for redesigning colonial economic systems based on principles of natural liberty and market efficiency. He argues that better system design would produce superior outcomes compared to the current monopoly-based arrangements.

## Economic Domain

Regulation

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