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# Common Annual Profits of Manufacturing Stock

## Definition

The typical rate of return expected by those who invest capital in manufacturing enterprises, usually expressed as a percentage of the capital employed. This represents the standard profit margin in a given economic context.

## Source Chapter

Book I, Chapter 6

## Context

Used by Smith to illustrate how profits relate to the amount of capital employed rather than to the labour of supervision. He provides a detailed example comparing two different manufacturing operations to demonstrate this principle.

## Economic Domain

Distribution

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