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Economic efficiency - determined element in investment decision

Author

Listed:
  • Claudia MUNGIU-PUPAZAN

    (Constatin Brancusi University of Targu Jiu, Romania)

Abstract

Economic activity of a country are conducted by industry, under branches and production sectors, each with special characteristics and conditions of work, which, of course, put their imprint on the organization manner of the production process By an analysis of the concept of economic efficiency of investment is found that this is an amount of qualitative factors, which gives the latter a complex character, aimed to improving activity in the area where are taking place to the putting into service of such investment, which can be modernization, bringing new equipments, reconstruction and development. Study the economic efficiency of investment involves, as a base, an analysis of causal factors that determine the decision in the afferent medium of risk. Corresponding to peculiarities of the production process, it requires a proper methodology of assessment the economic efficiency of investment, with specification to maintain the general principles for calculating the economic efficiency indicators and specific indicators come only to complete the picture of indicators of general, basic and supplementary already calculated in order to provide additional clues, afferent to branch, under-branch or sector of activity.

Suggested Citation

  • Claudia MUNGIU-PUPAZAN, 2010. "Economic efficiency - determined element in investment decision," Annals - Economy Series, Constantin Brancusi University, Faculty of Economics, vol. 1, pages 143-154, April.
    • Handle: RePEc:cbu:jrnlec:y:2010:v:1:p:143-154
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