> Lifting all the barriers to urban growth in America could raise the country’s GDP by between 6.5% and 13.5%, or by about $1 trillion-2 trillion. It is difficult to think of many other policies that would yield anything like that. And it would also reduce the real but unaccounted-for environmental and social externalities of our sprawling homogenous suburbs. Someone living in New York has half the energy footprint o…
It is also the entire cause of the "gentrification" problem many are so pissed off about. Nobody wants to move into a poor area, they are forced into it because you can't build skyscraper high rises in the good areas.
Another solution is to make commuting from a "long distance" (e.g. 60-120 miles) more bearable. In NYC, for instance, subways could be built to NJ.
Faster trains (low-speed maglevs) could be built like what's being done in China (http://en.wikipedia.org/wiki/Line_S1,_BCR).
Mountain View to San Francisco is 40 miles. Is there some reason that isn't a 40 minute commute?