I am working through Hatcher on my own, but having trouble finding a general definition of "induced homomorphism," at least without resorting to category theory (of which I have no knowledge). I understand Hatcher's specific uses, for example with fundamental groups (p. 34) and homology groups (p.111). But in his discussions, he also seems to imply that there are certain properties of induced homomorphisms, generally. Is this correct?
Any (non-category-theory) definition and properties would be much appreciated.
The phrase "induced homomorphism" is really informal; it refers to any context where we can "put together" a homomorphism from given information, in a way that doesn't involve making any choices (so we're not "missing" any information needed). Below I describe one way this crops up; Zev Chonoles' answer describes another (which is probably more common in algebraic topology):
A homomorphism from $A$ to $B$ can be induced by a partial homomorphism. Given two structures $A$ and $B$ and a map (not necessarily a homomorphism) $m$ from $X$ to $Y$ (where $X\subseteq A$ and $Y\subseteq B$, but are not necessarily substructures), we say $m$ induces a homomorphism if there is exactly one homomorphism extending $m$ - that is, exactly one homomorphism $f: A\rightarrow B$ such that $f(x)=m(x)$ for all $x\in X$.
One standard example is if $A, B$ are vector spaces (over a field $k$), $X$ is a basis for $A$, and $m$ is any map from $X$ to $B$, there is a unique homomorphism from $A$ to $B$ extending $m$. More generally, if a subset $X$ generates all of $A$ in the appropriate sense, then any map out of $X$ induces a homomorphism from $A$.
Another standard example - from topology, this time, so "homomorphism" should be replaced with "continuous map" - is the following. Let $A, B$ be $\mathbb{R}$ with the usual topology, and take $X=\mathbb{Q}$. Then
For example, if $m:q\mapsto q$ is the identity on $\mathbb{Q}$, then $m$ induces the identity map on $\mathbb{R}$ $f:r\mapsto r$, and if $m:q\mapsto q^2$ then $m$ induces $f: r\mapsto r^2$; by contrast, the map $m(q)=0$ if $q^2<2$ and $m(q)=1$ if $q^2>2$, while well-defined (and in fact continuous on $\mathbb{Q}$!) does not extend to any continuous map from $\mathbb{R}$ to $\mathbb{R}$.