- When something accomplishes what it was intended for
- Relating to something's capability to cause a particular outcome
- Pertaining to something currently operational or active
- In terms of interest, it refers to the rate which, when applied once at the end of the interest period, gives the same total as a quoted rate of interest does when compounded over the same period
- The new law became effective at the beginning of the year.
- The effective argument in the contract debate shifted the vote in their favor.
- The judge applied the effective rate of interest to calculate the settlement amount.