Quantity Demanded

AAA

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.

INVESTOPEDIA EXPLAINS '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.

RELATED TERMS
  1. Inelastic

    An economic term used to describe the situation in which the ...
  2. Economic Equilibrium

    A condition or state in which economic forces are balanced. These ...
  3. Elasticity

    A measure of a variable's sensitivity to a change in another ...
  4. Price Elasticity Of Demand

    A measure of the relationship between a change in the quantity ...
  5. Income Elasticity Of Demand

    A measure of the relationship between a change in the quantity ...
  6. Aggregate Demand

    The total amount of goods and services demanded in the economy ...
Related Articles
  1. Economics Basics
    Economics

    Economics Basics

  2. Explaining The World Through Macroeconomic ...
    Options & Futures

    Explaining The World Through Macroeconomic ...

  3. If a country's currency is determined ...
    Forex

    If a country's currency is determined ...

  4. Understanding Economic Value Added
    Markets

    Understanding Economic Value Added

Hot Definitions
  1. Debit Spread

    Two options with different market prices that an investor trades on the same underlying security. The higher priced option ...
  2. Leading Indicator

    A measurable economic factor that changes before the economy starts to follow a particular pattern or trend. Leading indicators ...
  3. Wage-Price Spiral

    A macroeconomic theory to explain the cause-and-effect relationship between rising wages and rising prices, or inflation. ...
  4. Accelerated Depreciation

    Any method of depreciation used for accounting or income tax purposes that allows greater deductions in the earlier years ...
  5. Call Risk

    The risk, faced by a holder of a callable bond, that a bond issuer will take advantage of the callable bond feature and redeem ...
  6. Parity Price

    When the price of an asset is directly linked to another price. Examples of parity price are: 1. Convertibles - the price ...
Trading Center