---
entity_slug: round_about_foreign_trade_of_consumption
evaluator: null
evaluated_at: '2026-02-23T06:19:34.876979'
overall_score: 4.4
scores:
- name: definition_precision
  value: 4.0
  max_value: 5.0
  rationale: The definition clearly distinguishes round-about trade from direct trade
    by specifying the intermediary step of precious metals payment through a third
    country. The concept is well-bounded and non-circular, though it could be slightly
    more precise about what constitutes "desired imports."
- name: source_grounding
  value: 5.0
  max_value: 5.0
  rationale: This entity is directly grounded in Smith's actual discussion in Book
    IV, Chapter 3, where he explicitly analyzes round-about versus direct trade patterns
    and uses the specific example of England importing French goods through tobacco
    and East India goods rather than English manufactures.
- name: domain_placement
  value: 5.0
  max_value: 5.0
  rationale: The "Exchange" domain is perfectly appropriate as this concept deals
    fundamentally with patterns of international trade and the mechanisms by which
    countries exchange goods and payments across borders.
- name: vsm_relevance
  value: 4.0
  max_value: 5.0
  rationale: This entity maps well to S4 (intelligence/environmental adaptation) as
    it represents a strategic choice about how to engage with the international trading
    environment, and potentially to S1 as an operational trading pattern. The concept
    has clear VSM relevance in terms of organizational strategy and operations.
- name: explanatory_value
  value: 4.0
  max_value: 5.0
  rationale: The entity illuminates an important structural mechanism in international
    trade that affects efficiency and resource allocation, helping explain why some
    trade patterns are more advantageous than others. It provides genuine insight
    into the mechanics of how nations can structure their trading relationships.
---

# Evaluation: Round About Foreign Trade Of Consumption

## definition_precision — 4.0 / 5.0

The definition clearly distinguishes round-about trade from direct trade by specifying the intermediary step of precious metals payment through a third country. The concept is well-bounded and non-circular, though it could be slightly more precise about what constitutes "desired imports."

## source_grounding — 5.0 / 5.0

This entity is directly grounded in Smith's actual discussion in Book IV, Chapter 3, where he explicitly analyzes round-about versus direct trade patterns and uses the specific example of England importing French goods through tobacco and East India goods rather than English manufactures.

## domain_placement — 5.0 / 5.0

The "Exchange" domain is perfectly appropriate as this concept deals fundamentally with patterns of international trade and the mechanisms by which countries exchange goods and payments across borders.

## vsm_relevance — 4.0 / 5.0

This entity maps well to S4 (intelligence/environmental adaptation) as it represents a strategic choice about how to engage with the international trading environment, and potentially to S1 as an operational trading pattern. The concept has clear VSM relevance in terms of organizational strategy and operations.

## explanatory_value — 4.0 / 5.0

The entity illuminates an important structural mechanism in international trade that affects efficiency and resource allocation, helping explain why some trade patterns are more advantageous than others. It provides genuine insight into the mechanics of how nations can structure their trading relationships.
