Share This Article:

Economic Definition of inelastic. Defined.

Offline Version: PDF

Term inelastic Definition: In general, if changes in variable A cause changes in variable B, then the relative change in B is less than the relative change in A. In other words, large changes in variable A cause relatively smaller changes in variable B. An inelastic relationship between two variables is not a very responsive, or stretchable, relationship. You should compare inelastic with elastic.

 

« inefficiency | inelastic demand »

Permalink: https://glossary.econguru.com/economic-term/inelastic

Alphabetical Reference to Over 2,000 Economic Terms