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Simply stated, effective means achieving an effect, and efficient means getting a task or job done it with little waste. To illustrate: suppose, you build 10 houses, very fast and cheap (efficient), but no one buy them. In contrary to building 5 houses same budget and time as 10 houses but you get all 5 sold and the buyers are happy (effective).
In other words, it requires no ingenuity to succeed. [4] Optionally, it may also be required that the method never returns a result as if it were an answer when the method is applied to a problem from outside its class. Adding this requirement reduces the set of classes for which there is an effective method.
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For example, oxygen is necessary for fire. But one cannot assume that everywhere there is oxygen, there is fire. A condition X is sufficient for Y if X, by itself, is enough to bring about Y. For example, riding the bus is a sufficient mode of transportation to get to work.
For example, effective field theory is a method used to describe physical theories when there is a hierarchy of scales. Effective field theories in physics can include quantum field theories in which the fields are treated as fundamental, and effective theories describing phenomena in solid-state physics .
In social science generally and linguistics specifically, the cooperative principle describes how people achieve effective conversational communication in common social situations—that is, how listeners and speakers act cooperatively and mutually accept one another to be understood in a particular way.
The effective interest rate is always calculated as if compounded annually. The effective rate is calculated in the following way, where r is the effective rate, i the nominal rate (as a decimal, e.g. 12% = 0.12), and n the number of compounding periods per year (for example, 12 for monthly compounding):