The increased string vibration near the neck actually makes the signal more powerful. That’s why guitars can be generally fine with high output bridge pickups and normal output neck pickups. As I understand, it’s mostly about harmonics. Getting nearer the bridge, accents upper harmonics. Same thing happens with picking location. I generally pick a bit closer to the bridge when on the B string. This adds some clarity, no matter the pickup selection.
I had it explained to me as follows on this side of the pond:
"It's the opposite of the motor effect (pass a current through a conductor in a field and you generate a force). The generator effect basically says in that if you apply a force (pick or pluck the string) to a conductor in a field (pickup magnets) you generate a current.
The bigger the force (string excursion) the larger the current. The placement is crucial as string vibration is quite complex as if you get a node over the pickup at that particular frequency you get virtually no signal from the pickup.
That's the simple version iirc."