Characterizing a financial product, investment, or portfolio as being sensitive to changes in interest rates. The value of a bond portfolio tends to be interest-elastic, for example.
Related information about interest-elastic:
- What is interest-elastic? definition and meaning
Definition of interest-elastic: Characterizing a financial product, investment, or portfolio as being sensitive to changes in interest rates. The value of a bond ...
- What is interest-elastic investment? definition and meaning
Definition of interest-elastic investment: An investment product or security in which its rate of return is responsive to the movements of interest rates.
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Definition of interest-elastic investment from QFinance - The Ultimate Financial Resource. What is interest-elastic investment? Definitions and meanings of ...
- Is the demand for money interest-elastic?
Jun 21, 2006 ... Read the ongoing debate over at EconLog. Bryan Caplan writes: When I've asked economists "Do you hold less money when interest rates ...
- The Interest-Elasticity of Transactions Demand For Cash - JStor
balances will become interest-elastic at high enough interest rates.' Above some minimum, he conjectures, the higher the interest rate the more economical of ...
- On Empirical Implications of Highly Interest-Elastic Money Demand ...
Downloadable! Based on a standard model of money demand, this paper first shows that a relationship between money supply and prices may be substantially ...
- Intermediate Macroeconomics ECON 302
Thus, if the demand for money is more interest elastic, then h is larger. This would have the effect of making the LM curve flatter (relative to the IS curve).
- Uncovering interest-elastic money demand: Evidence from the ...
bank rates) below which extremely interest-elastic money demand emerges. We use ... terest below which money demand is extremely interest-elastic. We find ...