---
entity_slug: modern_system_of_political_economy
entity_type: Institution
vsm_system: S5
type_rationale: The Modern System of Political Economy represents a socially constructed
  framework of rules, norms, and governance structures that organize how a society
  approaches economic development through commerce and manufacturing.
vsm_rationale: This system operates at the S5 level because it defines the fundamental
  identity and purpose of how political economy should function, representing the
  ultimate authority framework for organizing national economic activity.
classified_at: '2026-02-23T11:16:18.546562'
---

# Classification: Modern System Of Political Economy

## Entity Type

Institution

## VSM System

S5

## Type Rationale

The Modern System of Political Economy represents a socially constructed framework of rules, norms, and governance structures that organize how a society approaches economic development through commerce and manufacturing.

## VSM Rationale

This system operates at the S5 level because it defines the fundamental identity and purpose of how political economy should function, representing the ultimate authority framework for organizing national economic activity.
