A finite element with a spatially varying material property field is formul
ated and compared to a conventional, homogeneous element Sor solving bounda
ry value problems involving continuously nonhomogeneous materials. The part
icular element studied is a two-dimensional plane stress element with linea
r interpolation and an exponential material property gradient. However the
main results are applicable to other types of elements and property gradien
ts. Exact solutions for a finite rectangular plate subjected to either unif
orm displacement or traction either perpendicular or parallel to the proper
ty gradient are used as the basis for comparison. The results show that for
identical meshes with equal number of degrees-of-freedom, the graded eleme
nts give more accurate local stress values than conventional elements in so
me boundary value problems, while in other problems the reverse is true.