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With more of a push for WFH (which could be legally required as an option in some cases) and ensuring smaller towns have good internet access, smaller towns could be a lot more viable. They aren't to everyone's taste, but there's plenty of people who would love to live in a small town if not for the hellish commuting they'd have to do and the shoddy internet access.
Having decent transit options to the nearest big city would also help. Small towns often struggle with cars being a necessity because you'd have to go into the big city for many things.
In the early days of the pandemic I was thinking the shift to working from home would cause people to flee cities and move to smaller towns, causing major demographic and social changes.
I was half right. People did move to smaller towns, myself included. But then we saw firsthand how awful they are and moved back to big cities because it's worth it. I could go the rest of my life not living next to mouth breathing MAGAs.
Not sure if we can rely on smaller towns to moderate our prices..