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Income inelastic |
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Income inelasticHaving an income elasticity less than one.Similar MatchesPrice inelasticPrice inelasticHaving a price elasticity of less than one (in absolute value). Inelastic offer curveInelastic offer curveAn offer curve with inelastic demand for imports. That inelasticity implies that exports decline as imports increase, and it therefore means that the offer curve is backward bending. Strictly speaking, the natural definition of an offer curve's elasticity would be negative in this case, not just less than one, but that definition is seldom used. InelasticInelasticHaving an elasticity less than one. For a price elasticity of demand, this means that expenditure falls as price falls. For an income elasticity it means that expenditure share falls with income. Contrasts with elastic and unit elastic. |
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