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Macroeconomics | Simple Keynesian Model 1 JOIN US WITH THE JOIN BUTTON FOR MICRO AND MACROECONOMICS QUESTION SOLUTIONS AND MICRO AND MACROECONOMICS LECTURE NOTES Instagram: / ismethocailekolayiktisat In the Keynesian model, the most important factor determining planned investment expenditures is the interest rate. There is an inverse relationship between the interest rate and investment expenditures. Autonomous investments (I0) are the size of investments determined by factors other than the interest rate. Investment sensitivity to interest (b) is the coefficient that shows how many units of change in investment expenditures a one-unit change in interest rates creates. Join this channel to benefit from privileges: / @ismethocailekolayiktisat

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