---
entity_slug: fairs_and_markets
entity_type: Institution
vsm_system: S2
type_rationale: Fairs and Markets represent socially constructed rule systems that
  govern when, where, and how trading can occur through exclusive privileges and designated
  locations.
vsm_rationale: These institutional arrangements primarily function as coordination
  mechanisms that artificially constrain price signals and market interactions rather
  than allowing natural coordination between buyers and sellers.
classified_at: '2026-02-23T11:06:01.019777'
---

# Classification: Fairs And Markets

## Entity Type

Institution

## VSM System

S2

## Type Rationale

Fairs and Markets represent socially constructed rule systems that govern when, where, and how trading can occur through exclusive privileges and designated locations.

## VSM Rationale

These institutional arrangements primarily function as coordination mechanisms that artificially constrain price signals and market interactions rather than allowing natural coordination between buyers and sellers.
