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I think that might work in some places, but...in Southern California, where I live, we don't really believe in public transportation. However, if gasoline prices rose to $4.50/gal, there would be a public outcry such that politicians would have to develop some kind of such project. In actuality, polls have shown that the public in my neck of the suburbs is generally receptive to the idea of public transportation, but not so keen on paying for it - since, what the hell, all they have to do is hop in the car and go. We don't have the best freeway system in the country for nuthin'. However, last summer's energy crisis allowed work on the Alameda Corridor (a light train from Pasadena to LA) to begin.
The point of this ramble is this: if prices rose suddenly enough, even the most deeply ingrained gasoline based societies would capitulate and find some better method. However, if it's a gradual increase, people just accept it and move on. At the risk of sounding cliche, it's a slippery slope pattern of social behavior.
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