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In this video, settlement calculations are simplified using compressibility coefficients. The coefficient of volume compressibility, m/v, is defined as Delta e over Delta stress times 1 over 1 plus e. This represents the volume change per unit volume per unit increase in effective stress. The consolidation settlement equation is SC = H0 * Delta e / (1 + e). By multiplying above and below by Delta stress, the equation becomes SC = H0 * Delta e * Delta stress / ((1 + e) * Delta stress). This is the coefficient used for settlement calculations.