---
entity_slug: market_price_of_commodities
evaluator: null
evaluated_at: '2026-02-23T05:47:20.403504'
overall_score: 4.2
scores:
- name: definition_precision
  value: 4.0
  max_value: 5.0
  rationale: The definition clearly distinguishes market price from natural price
    and identifies the key mechanism (proportion between quantity brought to market
    and effectual demand). It's precise and non-circular, though could be slightly
    more explicit about the temporal aspect of "commonly sold."
- name: source_grounding
  value: 5.0
  max_value: 5.0
  rationale: This concept is directly and extensively discussed in Book I, Chapter
    7 of The Wealth of Nations, where Smith explicitly contrasts market price with
    natural price and explains the supply-demand dynamics. The definition accurately
    reflects Smith's original formulation.
- name: domain_placement
  value: 5.0
  max_value: 5.0
  rationale: '"Exchange" is the correct domain placement, as market price is fundamentally
    about the actual exchange values realized in transactions. This distinguishes
    it appropriately from production costs (natural price) and places it in the realm
    of market dynamics.'
- name: vsm_relevance
  value: 3.0
  max_value: 5.0
  rationale: Market price has some VSM relevance as it represents real-time operational
    feedback (S1) and environmental response (S4), but it's more of an emergent outcome
    than a structural system component. It's neither purely VSM-neutral nor clearly
    mappable to a single system.
- name: explanatory_value
  value: 4.0
  max_value: 5.0
  rationale: This entity provides significant explanatory power by capturing the dynamic
    mechanism through which actual prices deviate from theoretical equilibrium prices
    based on supply-demand imbalances. It illuminates a key structural relationship
    in market functioning rather than just naming a phenomenon.
---

# Evaluation: Market Price Of Commodities

## definition_precision — 4.0 / 5.0

The definition clearly distinguishes market price from natural price and identifies the key mechanism (proportion between quantity brought to market and effectual demand). It's precise and non-circular, though could be slightly more explicit about the temporal aspect of "commonly sold."

## source_grounding — 5.0 / 5.0

This concept is directly and extensively discussed in Book I, Chapter 7 of The Wealth of Nations, where Smith explicitly contrasts market price with natural price and explains the supply-demand dynamics. The definition accurately reflects Smith's original formulation.

## domain_placement — 5.0 / 5.0

"Exchange" is the correct domain placement, as market price is fundamentally about the actual exchange values realized in transactions. This distinguishes it appropriately from production costs (natural price) and places it in the realm of market dynamics.

## vsm_relevance — 3.0 / 5.0

Market price has some VSM relevance as it represents real-time operational feedback (S1) and environmental response (S4), but it's more of an emergent outcome than a structural system component. It's neither purely VSM-neutral nor clearly mappable to a single system.

## explanatory_value — 4.0 / 5.0

This entity provides significant explanatory power by capturing the dynamic mechanism through which actual prices deviate from theoretical equilibrium prices based on supply-demand imbalances. It illuminates a key structural relationship in market functioning rather than just naming a phenomenon.
