Does quantity demanded increase as demand increases?
Yes, quantity demanded generally increases as demand increases.
To understand this relationship, it's important to distinguish between demand and quantity demanded. Demand refers to the overall desire for a product or service at various price points, while quantity demanded refers to the specific quantity of that product or service that consumers are willing and able to purchase at a given price, holding other factors constant.
When demand increases, it means that consumers are more willing and able to buy a product or service across different price levels. This could happen due to various factors such as changes in consumer preferences, income levels, population growth, or marketing efforts. As demand increases, the demand curve shifts to the right.
As a result, at any given price, the quantity of the product or service that consumers are willing and able to buy also increases. This movement along the demand curve is known as an increase in quantity demanded.
In summary, when demand increases, it leads to an increase in quantity demanded as consumers are willing to buy more of a product or service at different price points.