An investment product or security in which its rate of return is largely unresponsive to the movements of interest rates.
Related information about interest-inelastic investment:
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Definition of interest-inelastic investment: An investment product or security in which its rate of return is largely unresponsive to the movements of interest rates.
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The magnitude of this effect may be restricted by limitations of factor substitutability, which would underlie an interest-inelastic investment demand schedule.
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Jan 2, 2010 ... interest rate), and interest inelastic investment only add to the ..... rigid nominal wages (b) interest-inelastic investment (c) liquidity trap.