markitect-main/examples/infospace-with-history/output/entities/revenue-versus-capital-effects.md

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<!-- generated: provider=openrouter model=arcee-ai/trinity-large-preview:free date=2026-02-19 source=book-4-chapter-02 -->
# Revenue Versus Capital Effects
## Definition
The distinction between policies that affect immediate economic returns (revenue) and those that influence long-term wealth accumulation (capital). Smith argues that protectionist measures may provide short-term benefits to certain groups while reducing overall economic growth.
## Source Chapter
Book IV, Chapter 2
## Context
Smith examines how trade restrictions affect both immediate economic returns and long-term capital accumulation, arguing that while such measures may benefit specific industries in the short term, they typically reduce overall economic growth and prosperity.
## Economic Domain
Accumulation
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