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| | Allocative efficiency - Wikipedia, the free encyclopedia |
 | | Allocative efficient economy produces an "optimal mix" of commodities. | | | When a market fails to achieve allocative efficiency and resources are not allocated efficiently, there is said to be market failure. | | | A firm is allocatively efficient when its price is equal to its marginal costs (that is, P = MC). |
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http://en.wikipedia.org/wiki/Allocative_efficiency
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| | Efficiency wages - Wikipedia, the free encyclopedia |
| | Lazear (1979, 1981) demonstrates the use of seniority wages to solve the incentive problem, where initially workers are paid less than their marginal productivity, and as they work effectively over time within the firm, earnings increase until they exceed marginal productivity. | | | Ford’s decision to increase wages so dramatically (doubling for most workers) is most plausibly portrayed as the consequence of efficiency wage considerations, with the structure being consistent, evidence of substantial queues for Ford jobs, and significant increases in productivity and profits at Ford. | | | In labor economics, the efficiency wage hypothesis argues that wages, at least in some markets, are determined by more than simply supply and demand. |
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http://en.wikipedia.org/wiki/Efficiency_wage_hypothesis
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| | Financial Statement Analysis - Efficiency Ratios -DSO - Credit Guru |
| | Efficiency ratios are ratios that come off the the Balance Sheet and the Income Statement and therefore incorporate one dynamic statement, the income statement and one static statement, the balance sheet. | | | These ratios are important in measuring the efficiency of a company in either turning their inventory, sales, assets, accounts receivables or payables. | | | The ratio is regarded as a test of Efficiency and indicates the rapiditity with which the company is able to move its merchandise. |
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http://www.creditguru.com/ratios/ratiopg2.htm
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| | Efficiency ratio - Wikipedia, the free encyclopedia |
| | The efficiency ratio of a business is expenses as a percentage of revenue ( expenses / revenue) with a few variations. | | | If expenses are $40 and revenue is $80 (perhaps net of interest revenue/expense) the efficiency ratio is 0.5 or 50% (40/80), the operating leverage is 2.0 or 200%. | | | If it's calculated as revenue divided by expenses (interest expense, "benefits, claims, and credit losses", operating expenses) it becomes 1 less the "income from continuing operations" margin. |
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http://en.wikipedia.org/wiki/Efficiency_ratio
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| | The Efficiency Ratio |
| | The efficiency ratio is defined as operating expenses divided by fee income plus tax equivalent net interest income. | | | The "efficiency ratio" is one of the primary buzz words cited by bankers, analysts and consultants today to evaluate the overhead structure and, by implication, profitability, of a financial institution. | | | The focus on the efficiency ratio in the banking industry is not surprising given that the industry is mature with modest growth prospects for traditional financial intermediation activities. |
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http://www.bizval.com/Publications/ArticleLibrary/EfficiencyRatio.htm
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| | business.iafrica.com business news Banks' efficiency ratio improving SARB |
| | He said the efficiency of the banking sector could be determined by expressing operating expenses as a percentage of total income. | | | Currently, the international benchmark for efficiency was 60 percent. | | | "Since 2002, however, the efficiency ratio has improved and, as at the end of October 2004, the efficiency of the banking sector was 65.2 per cent. |
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http://business.iafrica.com/news/399193.htm
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| | Fool.com: Drip Portfolio |
| | A bank's efficiency ratio is the percentage of revenue that goes to all noninterest expenses. | | | Cash efficiency ratio is noninterest expense minus goodwill amortization expense divided into revenue. | | | The company's overhead efficiency ratio, reserves for credit losses, asset turnover, leverage, and net interest margin all play a part of determining net margin and therefore need to be assessed before pronouncing a high net margin as a final arbiter of a company's quality. |
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http://www.fool.com/DRIPPort/dripglossary.htm
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| | The Motley Fool: Drip Portfolio Report |
| | The product of 1 minus the efficiency ratio is the analog of a manufacturing company's operating profit margin. | | | The margins we want to look at are efficiency ratio, cash efficiency ratio, net interest margin, and net income to revenues (net margin). | | | Cash operating margin, which is 1 minus the cash efficiency ratio, is 45.7%. |
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http://www.fool.com/dripport/1998/dripport980416.htm
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| | Untitled Document |
| | The level and the stability of the Return Efficiency Ratio are determined over long time periods by the quality of the particular trading model, the degree of diversification of the portfolio, the level of commissions charged for execution, and the quality and consistency of the CTAs execution. | | | The Sharpe Ratio is the ratio of annual returns in excess of the relevant risk free rate divided by the standard deviation of annual returns. | | | The Return Efficiency Ratio is defined as the ratio of the average monthly return divided by the standard deviation of monthly returns. |
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http://www.mfainfo.org/neo_apps/article/article.asp?article_id=1321&adate=10/1/2000
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| | Efficiency Ratio |
| | The efficiency ratio, ie operating expenses as a percentage of income, was 56.7%, as against 56.9% for the first half of 2003. | | | The efficiency ratio (teb) (expenses as a percentage of total revenues) at 48.0% continued to lead the Canadian banking industry. | | | Orientalâs efficiency ratio in fiscal 2004 improved to 49.63% from 51.35% the year before. |
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http://finance.za-news.com/new/Efficiency_Ratio.html
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| | Electricity Reform Abroad and U.S. Investment, Chapter 2, RPI-X: Price Caps Versus Rate-of-Return Regulation |
| | X is generally considered to be a productivity factor, which could be positive if the industry is expected to operate more efficiently in the future, or negative if efficiency declines are expected. | | | In addition, X would represent not expected future productivity gains, but rather some theoretical cutoff rate for electric utilities to have an incentive to surpass in order to retain all of the cost reductions benefits that accrue beyond X. Thus far, in terms of economic efficiency, RPI-X has been a clear success. | | | This new form of regulation often goes by the name of RPI-X. RPI-X regulation is also often called "performance-based regulation" in that it seeks to achieve economic efficiency through altering the incentive structure of the industry. |
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http://www.eia.doe.gov/emeu/pgem/electric/ch2l3.html
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| | Inefficiency - Wikipedia, the free encyclopedia |
| | For example, a company may have the lowest costs in "productive" terms, but the result may be inefficient in allocative terms because the "true" or social cost exceeds the price that consumers are willing to pay for an extra unit of the product. | | | Allocative inefficiency- Allocative efficiency theory says that the distribution of resources between alternatives does not fit with consumer taste (perceptions of costs and benefits). | | | We could do a better job if we applied deficit spending or expansive monetary policy. |
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http://en.wikipedia.org/wiki/Inefficiency
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| | ERC Talent Center - Great Articles - The Economic Consequences of Reducing Cost-Per-Hire |
| | An alternative metric to cost per hire is the "staffing efficiency ratio." This ratio is calculated by dividing total staffing costs by the total compensation of the positions recruited. | | | The Staffing Efficiency ratio has dropped each year that it has been measured by Staffing.org, with a value of 16% in 2000 and 13.6% in 2001. | | | The true measure of staffing efficiency should be not how much it costs to hire a certain level of total salary but how much it costs to hire a certain output in productivity. |
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http://www.ercnet.org/talent_center/article/metrics/0308yl001.htm
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| | TD Bank Financial Group 2002 Annual Report |
| | The efficiency ratio is viewed as a more relevant measure for TD Canada Trust, which had an efficiency ratio of 58.9% this year as compared with 59.6% in 2001 and 60.9% in 2000, after excluding non-cash items and funding costs for the acquisition of Canada Trust. | | | The Bank’s overall efficiency ratio is impacted by shifts in its business mix. | | | On a reported basis, the Bank’s overall efficiency ratio improved to 74.2% from 78.1% in 2001 and 79.6% in 2000. |
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http://www.td.com/ar2002/md_02_06.html
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| | Efficiency Ratio |
| | Efficiency is usually a decent measure of profitability. | | | For all versions of the ratio, an increase means the company is losing a larger percentage of its income to expenses. | | | The efficiency ratio gives us a measure of how effectively a bank is operating. |
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http://www.investopedia.com/terms/e/efficiencyratio.asp
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| | Efficiency in Bulgaria's schools : a non-parametric study |
| | Efficiency in the use of classrooms (in terms of classes) varies considerably among municipalities, and efficiency is highest in the capital city of Sofia. | | | The researchers find significant relationships between the efficiency scores, on the one hand, and, on the other, the proportion of students in the population under age 20 (demand indicator), the number of teachers (variable input), the percentage of the municipal budget spent on education, and the degree of urbanization. | | | To the extent that it is possible to use such classrooms more efficiently, savings could be generated in the municipalities that need them most: in demographically sparse, poor municipalities with a weak economic base. |
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http://www.eldis.org/static/DOC3549.htm
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| | The Successes of the Japanese System |
| | While U.S. economists have argued that unemployment is necessary to moderate wage demands and prevent shirking on the job (Shapiro and Stiglitz, 1984), Japanese workers have been performing with unexcelled efficiency in firms that assure them uninterrupted employment for the duration of their "lifetime" tenure. | | | Yet neither lifetime employment, nor age-based wages, nor Shunto can be classified as management innovations: each was adopted in response to union pressure and labor unrest in the early postwar period, and they were not originally designed to increase efficiency or reduce costs. | | | The efficiency wages theory's conclusion that unemployment is needed to deter shirking rests on the assumption that monitoring an employee's performance is difficult and costly. |
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http://socrates.berkeley.edu/~iir/research/sloan/chap7/page1.html
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| | BrueNewKeynesians.htm |
| | Firms paying efficiency wages will be reluctant to cut wage rates in response to declines in aggregate demand because these wage cuts will encourage shirking and increase the number of job quits, dampening productivity and increasing the firms' per-unit labor costs. | | | An efficiency wage is an above-market clearing wage that minimizes an employer's wage cost per effective unit of labor service employed. | | | Wage cuts simply are not an option when declines in aggregate demand unexpectedly occur; instead firms layoff workers. |
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http://www.suu.edu/faculty/bowman/Econ3790/BrueNewKeynesians.htm
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| | Untitled |
| | Paying so-called "efficiency wages"-the technical term for pay above the minimum level required to retain workers-may be profitable if it deters workers from slacking or spurs them to put in extra effort. | | | Broadly speaking, this wage gap can be explained in two ways: either the surveys are not comparing like with like; or highly profitable and productive companies may find it worthwhile for some reason to pay their employees more.Some of the wage gap is no doubt due to measurement problems. | | | Moreover, since workers are aware that their high wages are a consequence of their company's profitability, they may have no problem taking pay cuts in lean times.For all these reasons, workers doing the same job may often earn different wages. |
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http://www.wsu.edu:8080/~hallagan/Econ101/Weeks/Week6/effwages.html
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| | COMMON FINANCIAL RATIOS USED BY MRHVAC |
| | This ratio is nothing more than subtracting the average age of accounts payable and the average age of billings in excess of costs from the cash conversion period. | | | Current liabilities to inventory ratio shows you, as a percentage, the reliance on available inventory for payment of debt (how much a company relies on funds from disposal of unsold inventories to meet its current debt). | | | A minimum ratio of 1.0 to 1.0 ($1 of cash receivables to $1 current liabilities) is desirable. |
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http://www.mrhvac.com/download/free/FinancialRatios.htm
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| | Richard Wolff, "'Efficiency': Whose Efficiency?", Post-Autistic Economics Review, issue 16 |
| | Efficiency as a comprehensive, total, and absolute concept-cum- policy standard has no validity in and for analysis that presumes an overdeterminist rather than a determinist ontology. | | | Struggles emerge that usually include conflicts over which principles of selectivity will govern the analysis of problems and solutions, which principles of selectivity will be hegemonic in their society and hence in their efficiency calculi. | | | Advancing their own particular efficiency calculus as if it were the absolute notion of efficiency is thus one form taken by the social struggle for hegemony among contending groups. |
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http://www.paecon.net/PAEReview/issue16/Wolff16.htm
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| | Energy-Efficiency Economics Terminology |
| | the total revenues minus the total expenditures for each period of the economic analysis, normally expressed in future value dollars). | | | Certain terms are consistently used in the fields of building energy efficiency and financial and economic analysis. | | | uses this value to escalate the cost of maintenance and the cost of ECM replacements in its financial and economic analysis procedures. |
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http://www.fsec.ucf.edu/bldg/fyh/ratings/e_terms.htm
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| | Energy-Efficiency Economics Terminology |
| | : The ratio, expressed as a percentage, which results when a borrower's total monthly payment obligations on long-term debt are divided by their gross monthly income. | | | : The ratio, expressed as a percentage, which results when a borrower's total monthly housing expenses ( P.I.T.I.) are divided by their gross monthly income. | | | This is one of two ratios ( housing expense-to-income ratio being the other) used by the mortgage industry to determine if a prospective borrower qualifies (meets the underwriting guidelines) for a specific home mortgage. |
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http://www.fsec.ucf.edu/bldg/fyh/ratings/e_terms.htm
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| | Richard Wolff, "A Reply to Perino on the Absurdity of 'Efficiency'", Post-Autistic Economics Review, issue 18 |
| | Every efficiency concept depends, my article argued, on a very particular presumption about causes and effects (that one can reduce a list of costs and benefits to a singular causative economic act, policy, or conditions whose efficiency is to be measured). | | | Likewise, each efficiency concept can only select and measure a small subset of the infinite present and future costs and benefits ramifying from any economic act, policy, or condition. | | | The form of this debating ploy is often to denounce the opposing position and its efficiency calculus as based on “arbitrariness” while one’s own rests on the foundational certainty of rigorously measured costs and benefits. |
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http://www.paecon.net/PAEReview/issue18/Wolff18.htm
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| | Marshall: Principles of Economics, Book VI, Chapter III: Library of Economics and Liberty |
| | The corrected law then stands that the tendency of economic freedom and enterprise is generally to equalize efficiency-earnings in the same district: but where much expensive fixed capital is used, it would be to the advantage of the employer to raise the time-earnings of the more efficient workers more than in proportion to their efficiency. | | | For it is found that local variations of weekly wages and of efficiency generally correspond: and thus the facts tend to prove the effectiveness of competition, so far as they bear on the question at all. | | | The prime costs are equal in the two cases; but the total cost of that done by those who are more efficient, and get the higher time-wages, is lower than the total cost of that done by those who get the lower time-wages at the same rate of piece-work payment |
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http://www.econlib.org/library/marshall/marP45.html
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| | WIRE - Glossary: seasonal energy-efficiency ratio (SEER) |
| | The ratio of the total seasonal cooling requirement (measured in Btu) to the total seasonal Wh of energy used, expressed in terms of Btu/Wh. |
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http://wire0.ises.org/wire/glossary.nsf/5c0f7a6e23016cd9c125664e0043827c/fb83da47e1be594fc125664e004520ef!OpenDocument
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| | Nolan Efficiency Ratio Survey |
| | Average information system efficiency ratio (Total IS Expense/Total Bank Revenue) was 4.3%, ranging from.6% to 8.7%. | | | Return on investment in information systems and technology may have peaked prior to 2002 and may now be contributing to lower total bank efficiency as technology costs escalate without offsetting cost reductions in other areas or revenue increases. | | | This year was the second year that the Nolan Company has included a Systems Survey in our Efficiency Ratio Benchmarking Study. |
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http://www.bankbenchmarks.com/Demo/SSDemo.htm
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| | Perloff Companion Web Site Chapter 20 -- Deferred Payments Versus Efficiency Wages in Fast-Food Restaurants |
| | Because company-owned restaurants have the more severe monitoring problem, we would expect them to be more likely to use a financial incentive like deferred wages or efficiency wages to prevent shirking. | | | Krueger (1991) investigates whether fast-food restaurants use deferred wages or efficiency wages to deter opportunism by employees. | | | One explanation for why company-owned restaurants do not use deferred payments is that it is not practical to pay their workers very low rates initially because of minimum-wage laws. |
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http://occawlonline.pearsoned.com/bookbind/pubbooks/perloff2_awl/chapter20/custom3/deluxe-content.html
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| | Efficiency Wages |
| | The theory of efficiency wages holds that a firm can find it profitable to pay high wages because doing so increases the productivity of its workers. |
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http://www.cameron.edu/~abduls/mpp/chap_19/tsld015.htm
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| | Robert E. Nolan Company, Management Consultants - Banking Practice: Articles |
| | Through Nolans annual Efficiency Ratio Benchmarking Study, where data is gathered on virtually every line of business offered by banking organizations across the country with assets of $1 billion and more, we are able to provide study participants and clients with key information to help them improve their performance. | | | The $1 billion plus asset-sized study participants that have top quartile efficiency ratios in Commercial Banking and Retail Banking are two and one-half times more likely to have a top 50 percent overall bank efficiency ratio. | | | Deposit Operations efficiency was the key driver of Retail Banking results and all Commercial Lending origination areas (Corporate, Commercial Real Estate, Middle Market and Small Business) along with Commercial Cash Management were the key areas that predict performance in the Commercial Banking category. |
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http://www.renolan.com/banking/article-targeting_bank_er.htm
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