Speaking from personal experience people move to Seattle not because there’s large supply of housing but because it is where there are high paying jobs. It’s the only reason I’m in Seattle and I can say the same for several coworkers, so wouldn’t call it induced demand.
People move to where they can make a decent living, which increasingly means big cities. Saying it’s induced demand makes it sound like it’s insatiable but really it just the ratio of housing to high paying jobs is way out of whack.
I used to work in wild land firefighting as contractor for the Forest Service. From how my coworkers understood it, everyone got paid more fighting fires than preventing them, and the national budget reflects that [sources needed]. Not only firefighters but also all the contractors, air tanker and helicopter companies, and the retardant manufacturer, Monsanto, are paid well. It’s very easy for me to imagine such interests lobbying in congress to direct more and more funds toward fire fighting rather than prevention efforts.
People move to where they can make a decent living, which increasingly means big cities. Saying it’s induced demand makes it sound like it’s insatiable but really it just the ratio of housing to high paying jobs is way out of whack.