---
entity_slug: effectual_demand
entity_type: Element
vsm_system: S2
type_rationale: Effectual demand is a specific type of market demand that exists as
  a measurable economic force - the aggregate willingness and ability to pay that
  persists in the market for any given commodity.
vsm_rationale: Effectual demand serves as a coordination mechanism that generates
  price signals by determining what level of market price can be sustained, directly
  enabling the market's anti-oscillation function.
classified_at: '2026-02-23T11:04:21.372331'
---

# Classification: Effectual Demand

## Entity Type

Element

## VSM System

S2

## Type Rationale

Effectual demand is a specific type of market demand that exists as a measurable economic force - the aggregate willingness and ability to pay that persists in the market for any given commodity.

## VSM Rationale

Effectual demand serves as a coordination mechanism that generates price signals by determining what level of market price can be sustained, directly enabling the market's anti-oscillation function.
