The Elastic Clause, also known as the Necessary and Proper Clause, is found in Article I, Section 8 of the U.S. Constitution. It grants Congress the power to make laws that are necessary for executing its enumerated powers. This clause allows for flexibility in legislation, enabling Congress to adapt to changing circumstances and address issues not explicitly mentioned in the Constitution. This clause has been the basis for many significant laws and actions throughout U.S. history, including the establishment of the Federal Reserve and the creation of various federal agencies. It plays a crucial role in ensuring that the government can respond effectively to new challenges and needs.