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# Colonial Market Access Costs

## Definition

The expenses incurred by colonies in reaching international markets, including transportation costs, middleman profits, and restrictions on direct trade. These costs are artificially inflated by monopoly policies that force inefficient trade routes and limit market access.

## Source Chapter

Book IV, Chapter 7

## Context

Smith analyzes how monopoly policies increase colonial market access costs, reducing the economic benefits that would flow from natural trade relationships. He argues that removing these artificial barriers would significantly reduce costs and increase colonial prosperity.

## Economic Domain

Exchange

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