Elastic or Inelastic?

Question

Which of the following is more elastic and why:

Insulin or nasal decongestant spray
Personal computers or IBM personal computers

Answer 1

Insulin is more inelastic than nasal spray, because, no matter the price you need insulin, but you can do with a clogged nose so you can reduce your usage of nasal spray if the price goes up. So insulin inelastic, nasal spray elastic.

The second question has to do with brand loyalty. The whole purpose of a brand is to create brand loyalty and the whole purpose of brand loyalty is to make consumers more price inelastic. Thus the elasticity of personal computer will be higher than the elasticity of IBM computers because brand loyalty to IBM will make consumers less reactive to price increases in IBM machines. Thus, generic computers will be more elastic than the average for personal computers and IBM will be less elastic than personal computers.

Answer 2

(1) Insulin is highly inelastic. The user must have this if they are a diabetic. The diabetic doesn't get to drop consumption when price goes up. They can not respond to the price change, thus unresponsive = inelastic. Nasal decongestant is more elastic, it is not a necessity like insulin.
(2) IBM personal computers is more elastic. There are viable substitutes for IBM. If IBM goes up in price we can respond (elastic) by backing off of IBM computers and consider Dell, HP, or something else.