(redirected from efficient)
Also found in: Dictionary, Thesaurus, Medical, Legal, Encyclopedia, Wikipedia.


The degree and speed with which a market accurately incorporates information into prices.

Market Efficiency

The extent to which the price of an asset reflects all information available. Economists disagree on how efficient markets are. Followers of the efficient markets theory hold that the market efficiently deals with all information on a given security and reflects it in the price immediately, and that technical analysis, fundamental analysis, and/or any speculative investing based on those methods are useless. On the other hand, the primary observation of behavioral economics holds that investors (and people in general) make decisions on imprecise impressions and beliefs, rather than rational analysis, rendering markets somewhat inefficient to the extent that they are affected by people.


the relationship between the quantities of factor inputs (labour, materials, etc.) used by a firm and the quantity of output which it is able to produce using these inputs. Where a firm is able to produce the same output using fewer inputs or produce more output using the same quantity of inputs then it has improved its efficiency See PRODUCTIVITY.


the relationship between scarce FACTOR INPUTS and OUTPUTS of goods and services. This relationship can be measured in physical terms (TECHNOLOGICAL EFFICIENCY) or cost terms (ECONOMIC EFFICIENCY). The concept of efficiency is used as a criterion in judging how well MARKETS have allocated resources. See MARKET PERFORMANCE, RESOURCE ALLOCATION, ECONOMIZE.
References in periodicals archive ?
For municipalities, school systems and nonprofits on already limited budgets, converting to energy efficient equipment can greatly reduce operating costs and free up funds for other important projects, Ivey said.
Today, there are more than 50 product categories (and thousands of models) for the home and office, and even more impressive, during the past decade, ENERGY STAR has been a driving force behind the more widespread use of such technological innovations as LED traffic lights, efficient fluorescent lighting, power management systems for office equipment, and low standby energy use.
That's about 25 times as efficient as nuclear power, Allen says.
300 for each new item of qualified energy efficient property.
Keeping on top of the material being baled makes for the most efficient work, says Williams.
While energy efficient windows cost more than standard models, they can cut energy bills significantly and lower other construction costs.
We all want a country where governments are efficient, innovative and co-operative.
You can also use, believe it or not, krypton (maybe there is some Superman connection here), which is even more efficient but also more expensive.
Efficient Networks' new office in Singapore is located at Level 21, Centennial Tower, 3 Temasek Ave.
What Is Required to Achieve an Efficient Transfer Pricing Strategy?
45M, a credit for the manufacture of efficient dishwashers, clothes washers and refrigerators manufactured in 2006 or 2007.

Full browser ?