ELASTICITY

the degree to which a price change for an item results from a unit change in supply (called supply elasticity) or a unit change in demand (called demand elasticity) e.g a 10% change in price leads to a more than 10% change in demand = elastic; a 10% change in price leads to a less than 10% change in demand = inelasticity; cross elasticity, the relationship between the demand for one product on the demand for another.