alt Hacker NewsPeople are quick to point out that induced demand exists - especially people that aren't fond of change.
Very broadly speaking, people mis-estimate effect sizes in economics by orders of magnitude. Induced demand is just their foothold to claim an effect exists, before they go about claiming the effect size they want to see.
Replies
bombcar • today at 1:10 AM
I love induced demand. I'm going to use it to get rich - buy up some abandoned town somewhere, and then pay to run a 100 lane superhighway to it; induced demand means the town will fill up instantly and be hugely valuable!
➕ show 2 replies
How would induced demand work for housing? I understand it for say transit use or car travel or like Facebook visits, but when there's twice as much housing do I... buy another home? Buying extra houses as "an investment" in a culture that is hell bent on depreciating my investment by building more housing is one of those "r/WallStBets" crazy plays, if I'm wrong I will lose my shirt and everybody will laugh at me.
Also, even if that were a problem, which seems dubious, you can regulate it. Massive tax hikes for second and subsequent homes are a thing in some places.