22 lines
723 B
Markdown
22 lines
723 B
Markdown
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<!-- generated: provider=openrouter model=arcee-ai/trinity-large-preview:free date=2026-02-19 source=book-4-chapter-06 -->
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# Market Price Adjustment Mechanism
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## Definition
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The natural process by which market prices fluctuate around natural prices based on temporary variations in supply and demand. This mechanism ensures that resources are allocated efficiently without the need for government intervention.
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## Source Chapter
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Book IV, Chapter 6
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## Context
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Smith uses this mechanism to explain how prices naturally adjust to changing conditions, arguing that government attempts to control prices through restrictions and monopolies interfere with this efficient natural process.
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## Economic Domain
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Exchange
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---
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