What pace measures
Pace is the amount of time it takes to cover one unit of distance. Runners usually think in minutes per kilometre or minutes per mile rather than in raw speed, because pace is easier to compare against training plans, split targets, and race goals. A lower pace number means you are moving faster, because less time is needed to cover the same distance.
This is why a pace calculator is useful for questions such as how fast am I running, what is my pace per mile, and what finish time does this pace suggest for a longer race. The same time-distance relationship can also be written as average speed, but many runners find pace more intuitive when they are training by splits.