As a thought experiment, what if companies are made to pay for commute time? How would that change the labour market? Would they hire local? Provide better transportation? Work with cities to reduce congestion? Encourage more remote work? Decide it's too expensive to hire workers and cut hours? Work towards more inclusive housing?
That is way unfair to the company, when you will have certain people who are 'happy' to travel 1.5 hours each way. This seems insane to me, but there are plenty of people who do this and see no issue at all. How would a company hire local anyway, by rejecting candidates who live to far away? What if they promise to move, but don't end up doing it? > Work with cities to reduce congestion? The only real working way to…
Works really well where it was pioneered (in Singapore) and also seems to do an OK job in London.
I suspect the Brits ain't as ruthless in applying orthodox economics in general, so they don't solve their problems nearly as well including their congestion problems.