I maintain that if Traverse City is serious about traffic calming then the first step is to put up barriers to close the interesection of Lake Ave and Eighth St and then let the Braess paradox go to work.
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The latest example again comes from New York when a congested thoroughfare was closed and congestion improved.
See the NYT: What if They Closed 42d Street and Nobody Noticed?
I've mentioned this concept before: Understanding Traffic With Braess' Paradox And The Nash Equilibrium