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Great Britain's decision to agree to the terms outlined in the Treaty of Paris (1783) was primarily driven by the financial strain of the American Revolutionary War and the recognition that continuing the conflict would be costly and unwinnable. The significant military defeats, particularly the surrender at Yorktown in 1781, undermined British morale and support for the war. Additionally, the desire to stabilize relations with the newly independent United States and focus on other global interests further compelled Britain to negotiate peace.

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