---
entity_slug: stock_lent_at_interest
evaluator: null
evaluated_at: '2026-02-23T06:25:52.647848'
overall_score: 4.2
scores:
- name: definition_precision
  value: 4.0
  max_value: 5.0
  rationale: 'The definition clearly distinguishes stock lent at interest from other
    forms of capital deployment by specifying the key characteristics: annual rent
    payment, expectation of full return, and transfer of employment rights while maintaining
    ownership. It avoids circularity and captures a distinct economic relationship.'
- name: source_grounding
  value: 5.0
  max_value: 5.0
  rationale: This concept is directly grounded in Book II, Chapter 4 of The Wealth
    of Nations, where Smith explicitly discusses capital lending arrangements and
    the distinction between productive and unproductive uses of borrowed capital.
    The entity accurately reflects Smith's analysis of this specific form of capital
    employment.
- name: domain_placement
  value: 5.0
  max_value: 5.0
  rationale: The placement in the "Accumulation" domain is correct, as lending capital
    at interest is fundamentally about how accumulated capital is deployed and circulated
    in the economy. This fits perfectly within Smith's broader discussion of capital
    accumulation and its various employment modes.
- name: vsm_relevance
  value: 3.0
  max_value: 5.0
  rationale: This entity has moderate VSM relevance, potentially mapping to S1 (as
    a primary economic operation) or S4 (as part of the intelligence system that allocates
    capital based on environmental opportunities). However, it's somewhat abstract
    and could be considered VSM-neutral as a general economic mechanism.
- name: explanatory_value
  value: 4.0
  max_value: 5.0
  rationale: The entity provides strong explanatory value by illuminating the structural
    mechanism through which capital ownership can be separated from capital employment,
    creating the foundation for understanding interest rates and the monied interest
    class. It explains a fundamental economic relationship rather than merely naming
    a surface phenomenon.
---

# Evaluation: Stock Lent At Interest

## definition_precision — 4.0 / 5.0

The definition clearly distinguishes stock lent at interest from other forms of capital deployment by specifying the key characteristics: annual rent payment, expectation of full return, and transfer of employment rights while maintaining ownership. It avoids circularity and captures a distinct economic relationship.

## source_grounding — 5.0 / 5.0

This concept is directly grounded in Book II, Chapter 4 of The Wealth of Nations, where Smith explicitly discusses capital lending arrangements and the distinction between productive and unproductive uses of borrowed capital. The entity accurately reflects Smith's analysis of this specific form of capital employment.

## domain_placement — 5.0 / 5.0

The placement in the "Accumulation" domain is correct, as lending capital at interest is fundamentally about how accumulated capital is deployed and circulated in the economy. This fits perfectly within Smith's broader discussion of capital accumulation and its various employment modes.

## vsm_relevance — 3.0 / 5.0

This entity has moderate VSM relevance, potentially mapping to S1 (as a primary economic operation) or S4 (as part of the intelligence system that allocates capital based on environmental opportunities). However, it's somewhat abstract and could be considered VSM-neutral as a general economic mechanism.

## explanatory_value — 4.0 / 5.0

The entity provides strong explanatory value by illuminating the structural mechanism through which capital ownership can be separated from capital employment, creating the foundation for understanding interest rates and the monied interest class. It explains a fundamental economic relationship rather than merely naming a surface phenomenon.
