Inelastic: meaning, definitions and examples
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inelastic
[ ɪnɪˈlæstɪk ]
economic theory
Inelastic refers to a situation in economics where the demand or supply for a good or service does not change significantly with a change in price. This means that consumers will continue to purchase nearly the same amount of a good even if its price increases or decreases. Inelastic goods are often necessities or have few substitutes, making consumer behavior less sensitive to price changes. Examples of inelastic goods include medications, basic food items, and utilities.
Synonyms
Examples of usage
- The demand for insulin is inelastic because it is a life-saving medication.
- Water has an inelastic demand since people need it to survive.
- The price of gasoline can rise, but people still need to fuel their cars, illustrating inelastic behavior.
Translations
Translations of the word "inelastic" in other languages:
🇵🇹 inelástico
🇮🇳 अस्थिर
🇩🇪 unelastisch
🇮🇩 inelastis
🇺🇦 нееластичний
🇵🇱 nieelastyczny
🇯🇵 非弾性
🇫🇷 inelastique
🇪🇸 inelástico
🇹🇷 esnek olmayan
🇰🇷 비탄력적
🇸🇦 غير مرن
🇨🇿 neelastický
🇸🇰 neelastický
🇨🇳 非弹性
🇸🇮 neelastičen
🇮🇸 ódeyfilegur
🇰🇿 серпімді емес
🇬🇪 არელასტიური
🇦🇿 elastik olmayan
🇲🇽 inelástico
Word origin
The term 'inelastic' comes from the prefix 'in-', meaning 'not', and 'elastic', which derives from the Greek word 'elastikos', meaning 'able to be drawn out' or 'flexible'. The term 'elastic' in economics was popularized by Alfred Marshall in the late 19th century to describe how the quantity demanded of a good responds to changes in price. The introduction of 'inelastic' as an opposing concept allows economists to categorize goods based on their sensitivity to price fluctuations. Inelastic goods typically include essential items, which consumers cannot easily forgo or substitute, resulting in a demand curve that is steeper compared to elastic goods. Since its inception, the concept has remained fundamental in economic theory and analysis.