There is various figures of supply and demand curves in literature that describe induced demand but they do not correspond to the properties of supply and demand of car travel. My question is related to following subquestions: is supply of car travel dependent or independent on price (i.e. is it a vertical line)? Does shift in supply (increase of capacity) lead to shift of demand curve or move along the curve? Move along the curve (which is in the most of the graphs I have found) means that the demand corresponding to a particular price stays the same but it is certainly not true. There is different demand (traffic volume) with the same level of congestion (price/time).
The supply and demand curve for induced traffic typically show an increase in both traffic supply and demand as road capacity increases. The supply curve represents the amount of road capacity available, while the demand curve represents the amount of traffic that wants to use that capacity. As road capacity increases, the supply curve shifts to the right, indicating that more traffic can be accommodated. At the same time, the demand curve also shifts to the right, indicating that more people are incentivized to drive due to the increased road capacity. The intersection of the two curves represents the equilibrium point, where the amount of road capacity matches the amount of traffic demand.
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