Comment 116032

By ergopepsi (registered) | Posted January 13, 2016 at 18:09:38 in reply to Comment 116030

I think the idea here is that adding more road space does induce or 'create' demand. To simplify, if the road space doesn't exist there is no-one sitting their living room wishing it was there. They are content to take the bus or walk or whatever. It's a non-issue to the person. So, in general terms no latent demand.

However, if the road is widened that person would decide that they could now drive to their destination or they would allow themselves to be less efficient in their driving habits. So, the person is encouraged to drive by that extra road space. Wouldn't that be induced demand?

There are articles all over the web about this. Without splitting hairs about the word 'law' I think there is something to this idea. One good article is here:

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