Induced magnetic fields occur when an electromotive force (emf) is generated in a coil due to changing flux linkage. This induced emf creates an electric field across the circuit, causing free charges, such as electrons, to move and generate electric current. While emf is often described as the potential difference between battery terminals, it is more accurately defined as the voltage available from a source when no current flows. The discussion highlights the distinction between emf and voltage, emphasizing that voltage is the potential difference across terminals when current is present. Clarity in terminology is crucial to avoid confusion in understanding electrical concepts.