The compound adjective "values-based" is a modern formation, combining the established noun "values" with the participial adjective "based". The noun "values" originates from the Latin verb valere, meaning "to be strong or worthy", which evolved to signify the worth or merit of something, and later, abstract principles of moral worth. The suffix "-based" derives from the Latin basis, meaning a foundation or pedestal, via Old French. When combined, the term literally constructs the meaning "founded upon principles of worth", logically evolving to describe any system, decision, or action grounded in a defined ethical framework. This formation follows a common pattern in English for creating descriptive compound adjectives that specify a foundational element.

Structure: values (noun) + based (adjective suffix) - values: From Latin valere (to be strong, be worth). Functions as the nominal root, representing the core principles. - based: From Old French baser (to lower, found), from Latin basis (foundation, pedestal). Functions as a participial/adjectival suffix meaning "having as a foundation".