Quantity Demanded

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DEFINITION of 'Quantity Demanded'

A term used in economics to describe the total amount of goods or services that are demanded at any given point in time. The quantity demanded depends on the price of a good or service in the marketplace, regardless of whether that market is in equilibrium. The quantity demanded is determined at any given point along a demand curve in a price vs. quantity plane.

BREAKING DOWN 'Quantity Demanded'

When a given quantity of a good or service is demanded, as determined by its price, it will then impact the amount of goods or services that will be purchased. The degree to which the quantity demanded changes with respect to price is called elasticity of demand.

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RELATED FAQS
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    According to economic theory, the law of demand states that the relative demand for a good or service is inversely correlated ... Read Full Answer >>
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