In economics, induced demand – related to latent demand and generated demand – is the phenomenon whereby an increase in supply results in a decline in price and an increase in consumption. In other words, as a good or service becomes more readily available and mass produced, its price goes down and consumers are more likely to buy it, meaning that the quantity demanded subsequently increases. This is consistent with the economic model of supply and demand.
Part of the Embarcadero Freeway in San Francisco being torn down in 1991. The removal of the freeway illustrates the inverse of induced demand, "reduced demand".
A pedestrian plaza on Broadway at Madison Square; the Empire State Building is in the background; Broadway is reduced at this spot to a single lane (on the right)
John Joseph Leeming,, BSc, ACGI, FICE, MI Struct E, MI Mun E, F Inst HE, was a British civil engineer and traffic engineer. He forwarded controversial ideas for the causes of, and remedies for, road traffic accidents (RTAs), including the notion that drivers should not always be assumed to be at fault.
Abingdon Bridge over the River Thames, showing the wide span that Leeming designed to ease navigation
