---
entity_slug: domestic_market_monopoly
evaluator: null
evaluated_at: '2026-02-23T05:07:23.786121'
overall_score: 4.4
scores:
- name: definition_precision
  value: 4.0
  max_value: 5.0
  rationale: The definition is precise and captures a distinct economic concept -
    the exclusive control over domestic markets through government intervention. It
    clearly distinguishes this from natural monopolies or other forms of market control
    by specifying the mechanism (government-imposed restrictions) and effects (higher
    prices, excluded foreign competition).
- name: source_grounding
  value: 5.0
  max_value: 5.0
  rationale: This concept is directly grounded in Smith's analysis in Book IV, Chapter
    3, where he explicitly discusses how merchants and manufacturers seek and obtain
    monopolistic control over domestic markets through mercantilist policies. Smith
    clearly identifies this as the core interest driving support for trade restrictions.
- name: domain_placement
  value: 5.0
  max_value: 5.0
  rationale: The "Regulation" domain is perfectly appropriate since this entity specifically
    concerns government-imposed market controls and restrictions. The concept fundamentally
    involves regulatory mechanisms (tariffs, prohibitions, trade restrictions) rather
    than natural market processes.
- name: vsm_relevance
  value: 3.0
  max_value: 5.0
  rationale: This entity has moderate VSM relevance, primarily mapping to S3 (internal
    regulation) as it represents a regulatory mechanism that controls internal market
    operations. However, it could also relate to S4 (intelligence/adaptation) in terms
    of how the system responds to external competitive threats through protective
    measures.
- name: explanatory_value
  value: 5.0
  max_value: 5.0
  rationale: This entity provides excellent explanatory power by illuminating the
    structural mechanism behind mercantilist policies - showing how private interests
    (merchants/manufacturers) capture public policy to create artificial scarcity
    and higher profits. It explains both the motivation for and the economic effects
    of protectionist measures.
---

# Evaluation: Domestic Market Monopoly

## definition_precision — 4.0 / 5.0

The definition is precise and captures a distinct economic concept - the exclusive control over domestic markets through government intervention. It clearly distinguishes this from natural monopolies or other forms of market control by specifying the mechanism (government-imposed restrictions) and effects (higher prices, excluded foreign competition).

## source_grounding — 5.0 / 5.0

This concept is directly grounded in Smith's analysis in Book IV, Chapter 3, where he explicitly discusses how merchants and manufacturers seek and obtain monopolistic control over domestic markets through mercantilist policies. Smith clearly identifies this as the core interest driving support for trade restrictions.

## domain_placement — 5.0 / 5.0

The "Regulation" domain is perfectly appropriate since this entity specifically concerns government-imposed market controls and restrictions. The concept fundamentally involves regulatory mechanisms (tariffs, prohibitions, trade restrictions) rather than natural market processes.

## vsm_relevance — 3.0 / 5.0

This entity has moderate VSM relevance, primarily mapping to S3 (internal regulation) as it represents a regulatory mechanism that controls internal market operations. However, it could also relate to S4 (intelligence/adaptation) in terms of how the system responds to external competitive threats through protective measures.

## explanatory_value — 5.0 / 5.0

This entity provides excellent explanatory power by illuminating the structural mechanism behind mercantilist policies - showing how private interests (merchants/manufacturers) capture public policy to create artificial scarcity and higher profits. It explains both the motivation for and the economic effects of protectionist measures.
