shadow price noun 1verb 1forms 3 noun1 •A price for a resource, good, or service which is not based on actual market exchanges, but is mathematically derived from indirect data obtained from related markets.Friedman (1969) argued that a positive shadow price of money balances would violate the Pareto-efficiency condition that the shadow price of anything should equal its marginal cost. — 1982 verb1 •To calculate a shadow price for. formsshadow priced · shadow pricing · shadow prices
