I support this too. Cars are death to cities.

But your points are valid. One approach would be the good old market. Give people x amount to spend on transport and let them decide how to use it.

When I had parking cashout in Santa Monica early in my career I loved the extra $2500 a month in my paycheck, and starting my day with a bike ride.

Of course, this only works if, every road is tolled high enough to account for the negative externalities of driving (pollution, people killed while walking, cycling, motorcycling, etc., noise, the end of the North Atlantic Meridional Overturning circulation causing northern Europe to be nearly uninhabitable in winter.. so on and so forth), and of course, to build/maintain/police it.