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Elasticity of Demand

The relative stability of a security's or product's price in the face of increased or decreased demand. Elastic securities or products have prices that move as independently as possible from changes in demand. In securities, elasticity is strongly influenced by the number of shares outstanding; if a company has many shares outstanding, a large order to buy or sell them is less likely to affect the price as strongly as a similar order for a company with comparatively few shares outstanding. In other products, elasticity largely comes from whether a given product is considered a necessity or a luxury. A "necessary" product is likely to be more elastic. See also: Income Elasticity of Demand.
Farlex Financial Dictionary. © 2012 Farlex, Inc. All Rights Reserved


Of or relating to the demand for a good or service when the quantity purchased varies significantly in response to price changes in the good or service. For example, the demand for a product with many close substitutes is elastic because a small price rise will cause consumers to switch to competing brands. Compare inelastic.
Wall Street Words: An A to Z Guide to Investment Terms for Today's Investor by David L. Scott. Copyright © 2003 by Houghton Mifflin Company. Published by Houghton Mifflin Company. All rights reserved. All rights reserved.


adj. relatively responsive to change.


Collins Dictionary of Economics, 4th ed. © C. Pass, B. Lowes, L. Davies 2005
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The knitting bag is baby blue with a knitted lining; large enough to accommodate knitting needles, on the exterior is an elasticised pouch to hold a ball of wall.
Even the more recent material slots right into the elasticised power pop Reef excel at.
* The sturdy, elasticised waist band is probably the most comfortable you or your boy will ever wear, coupled with a quality braided drawstring for big wave security.
Available to order in a choice of three styles with different colour options - lace up in navy; elasticised gusset in grey or camel; or touch fastening in beige, navy or black.
Guitarist Michael Padget's licks were elasticised and taut at the same time, a real highlight of the set.
An elasticised white silk cover is also slipped over Bergens and white camo tape is cut into strips and stuck to weapons in a random pattern to break up their black outline.