Direct agricultural markets, predicated on face-to-face ties between producers and consumers, are often seen as central components of local food systems. Activists and academic analysts often assume that trust and social connection characterize direct agricultural markets, distinguishing local food systems from “global food systems”. This article examines that premise about direct agricultural markets, using the concept of social embeddedness from economic sociology to analyze the interplay of the economic and the social. Specifically, it draws on Block’s (1990) elaboration of the concepts of markets and instrumentalism to qualify the concept of social embeddedness. Taken together, and augmented by consideration of how they relate to power and privilege, these concepts provide an analytical framework that more accurately describes the social relations of two types of direct agricultural markets * the farmers’ market and community-supported agriculture. In providing an alternative market, farmers’ markets create a context for closer social ties between farmers and consumers but remain fundamentally rooted in commodity relations. In attempting to construct an alternative to the market, as reflected in an explicit emphasis on community and in the distinctive “share” relationship, community-supported agriculture moves closer to the decommodification of food. Nonetheless, in both types of direct markets, tensions between embeddedness, on the one hand, and marketness and instrumentalism, on the other, suggest how power and privilege may sometimes rest more with educated, middle-class consumers than with farmers or less-advantaged consumers. Recognizing how markets and instrumentalist complicate social embeddedness is critical for understanding the viability, development, and prospects of local food systems.