Quantity Supplied

Definition of 'Quantity Supplied'


A term used in economics to describe the amount of goods or services that are supplied at a given market price. Graphically, the amount of goods or services supplied lies at any point along the supply curve in a price versus quantity plane. The rate at which the amount supplied changes in response to changes in prices is called the price elasticity of supply.

Investopedia explains 'Quantity Supplied'


The quantity supplied depends on the price level at any given time in the market. The price can be set by either a governing body by using price ceilings or floors, or by regular market forces. If a price ceiling or floor is set, this means there will be a market imperfection, which will force suppliers to provide a good or service for a noncompetitive price, no matter the cost of production.



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