If the quantity demanded for a product changes very little as the price increases, this means that the product is an 'inelastic' good.
If the quantity demanded for an item increases significantly when the price decreases, the demand for the good is 'elastic'.
Inelastic means that when the price goes up, consumers' buying habits stay about the same and when the price goes down, consumers' buying habits also remain unchanged.
For example, if the price of a commodity rises twenty-five percent and demand decreases by only two percent, demand is said to be inelastic.
A product is considered to be elastic if the quantity demand of the product changes more than proportionally when its price increases or decreases.
For example, if the price of a good decrease by an amount, there would be a greater increase in people that would want to buy. If the price of a good increases by an amount, there would be a greater decrease in people that would want to buy.
Hence, the answer was given and explained above.
To learn more about elastic and inelastic goods refer:
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