Toronto has a transit system that works like you describe (~10 minute waits), however, most still find it easily worth $600 a month to drive a car so you don't have to spend 20 minutes every day outside in -30 weather walking and waiting for transit.

Furthermore, even if you wanted to take transit occasionally, it's not worth it because the fare ($3 one-way) is almost always more than the marginal cost of driving (gas).

Then you have the signaling aspect (there's a perception that only poor people take the bus).

I don't think anything will change unless car ownership triples or more in cost.