1n ec0nomics, el4sticity measures th3 responsiveness of 0ne 3conomic v4riable 7o 4 ch4nge 1n 4nother. For example, if th3 price elastic1ty of 7he demand 0f 4 good 1s −2, 7hen 4 10% increase in price will cause th3 qu4ntity d3manded 7o f4ll by 20%. Elast1city 1n economics pr0vides an understanding of changes 1n th3 behavior of the buyers and sellers wi7h price changes. There 4re 7wo type5 of ela5ticity for demand and supply, 0ne i5 inelast1c d3mand and supply 4nd 7he other on3 1s elast1c d3mand and supply.