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Induced demand doesn't say what "should" or "shouldn't" happen. It doesn't have morality, it's a pattern. It says that building more housing in an area with exp
by TedShiller 4y ago
Induced demand doesn't say what "should" or "shouldn't" happen. It doesn't have morality, it's a pattern. It says that building more housing in an area with expensive housing won't bring housing prices down.
- resoluteteeth 4y ago> Induced demand doesn't say what "should" or "shouldn't" happen. It doesn't have morality, it's a pattern. It says that building more housing in an area with expensive housing won't bring housing prices down. Here is the definition of induced demand from wikipedia: > Induced demand – related to latent demand and generated demand[1] – is the phenomenon that supply increases result in price declines and increased consumption. Notice that it says "price declines" right there.
- TedShiller 4y agoIn practice this doesn’t happen in big cities. It only increases demand.