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Efficiency of Military Performance

In: Defense Economics

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  • Marcus Matthias Keupp

    (Military Academy)

Abstract

Effectiveness is a necessary but not sufficient condition by which analysts must judge military capabilities. Their assessment must also consider the efficiency with which combatants generate them, i.e., the relationship between capabilities created and the resources consumed during this creation. Efficiency is therefore a measure of the extent to which time, material, and human resources are transformed into productive outcomes. Low efficiency is always a sign that the economic principle was violated (squandering of inputs, unproductive use of working time, wastefulness, inferior technology used, etc.). The less material and human resources are used to generate any given intensity and quality of military capabilities, the more efficient this creation is. An efficiency assessment analyzes only the production side and makes no conclusions about the effectiveness of the capabilities. As a result, a full assessment of military performance must consider both its effectiveness and its efficiency.

Suggested Citation

  • Marcus Matthias Keupp, 2021. "Efficiency of Military Performance," Springer Books, in: Defense Economics, chapter 0, pages 93-114, Springer.
    • Handle: RePEc:spr:sprchp:978-3-030-73815-0_4
    DOI: 10.1007/978-3-030-73815-0_4
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