Very annoying explanation of Induced Demand in urban transportation.
Annoying because the truth is annoying. Because it is not restricted only to adding lanes for private cars, because it implies that increasing load factor by means like carpooling will also be offset by it.
But if you want to really understand urban transportation and economy, it is what it is.
Though many regard the city as a growth engine, we can easily see how our own experience leads us to the hard truth. The core of the city growth is created by the suppression of growth in its nearby environment.
in this video, I explain how Hassle-Distance determines the Suppression Zone of the city and on the way also explains what creates the Induced Demand in urban transportation.
Congestion fees have recently been presented as the tool to solve all urban problems. Economists vouch for it, city leaders praise it, and only the general public dislike it.
“The general public is dumb”, say some economists. “They don’t know what’s good for them”.
“It will only improve the lives of people who live in the periphery”, say economists living in the center of metropolitan areas.
“You are suspicious for nothing”, they conclude after considering data from other economists living in central cities like London, Stockholm or Singapore.