Living in Hayward for example would make housing more affordable, but as you allude to, commute times would likely 4-5x (because bridges) and their kids' education would suffer due to school districts since they likely take advantage of the Tinsley Voluntary Transfer Program to attend schools in Menlo Park's school district (whereas Hayward schools are not good by any stretch of the imagination)
It's a tradeoff lost of people make. 1. Live in a garage, 2. Long commute, or 3. Live in an area with fewer job prospects?
Somebody has never negotiated a salary... The answer is yes, a lot more, you just go "This commute is unbearable and I won't move to your stupid neighborhood so if you want me, pay me 20k more" (not a joke, I did that, for a 45 mins commute).
Just think about all the stuff you've missed out by being so closed minded and not saying it, many people will pay you more if you complain about your commute, that's a fact.