Final answer:
The demand for stay warm jackets is likely to be less elastic than for puffy jackets because they are viewed as a necessity for staying warm, hence consumers are less sensitive to price changes, as opposed to puffy jackets, which may be seen more as a fashion statement and less essential.
Step-by-step explanation:
The demand for stay warm jackets is likely to be less elastic compared to puffy jackets. Elasticity of demand is the measure of how demand for a product changes with a change in price. Stay warm jackets, which are a necessity during cold weather, will have more inelastic demand because consumers will continue to purchase them even if the price increases, as they are essential to keeping warm. Puffy jackets, on the other hand, may be considered more of a fashion item and not strictly necessary, which means consumers might be more sensitive to changes in price, making the demand for puffy jackets more elastic.
Demand elasticity is related to the concept of necessity. Since stay warm jackets are more likely to be seen as a necessity, they have inelastic demand. In contrast, a non-necessity item, like a specific style of jacket such as a puffy jacket, will generally have more elastic demand as there are likely to be more substitutes available, and consumers could forego the purchase or choose another style if the price rises.