elasticity


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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.

elasticity

The responsiveness of the quantity purchased of an item to changes in the item's price. If the quantity purchased changes proportionately more than the price, the demand is elastic. If the quantity purchased changes proportionately less than the price, the demand is inelastic. For example, price increases by cigarette manufacturers have a relatively small effect on cigarette consumption, thus, the demand for cigarettes is inelastic.

elasticity

The ability of the real estate market to respond to price increases over a fairly short period of time.

References in periodicals archive ?
In the meantime, knowing that magnetism alone can predict how elasticity will respond or not respond to changes in temperature might help engineers better select or design materials for specific purposes.
Therefore, the present study was focused on bending stress, modulus of elasticity in bending, shear stress and specific shearing energy of three different sections of stalks of 10 different maize cultivars.
As each yarn has its own elasticity and its own retraction coefficient during the dye process, this additional features benefits the customer.
It's very easy to tell whether a yarn has elasticity or not: simply take a strand of the yarn, hold a section between your hands, and gently tug.
Most studies using aggregate lottery-demand models have estimated an income elasticity of demand that is less than one (and conclude that lotteries are regressive), whereas evidence on the cross-price elasticity of demand is mixed.
This book is for engineers interested in developing new methods, as well as clinicians using techniques for measurement of soft tissue elasticity in vivo.
Keywords Inflation * Exchange rate * Aggregate demand * Elasticity
They measured wrinkles, skin elasticity and hydration at baseline and at 12 and 24 weeks.
Employment-growth elasticity -- in other words the job creation capacity of economic growth -- is one of the major topics in macroeconomics.
In the literature of public finance and taxation, a distinction is generally made between elasticity and buoyancy of a tax or the tax system as a whole.
LNG demand requires determining the elasticity components of LNG.