FCC lets SpaceX cut satellite altitude to improve Starlink speed and latency
arstechnica.com
arstechnica.com
Will they need permission from other countries, who might be wary of these being used for spionage, for example?
Basically it says every country is free to conduct peaceful activities in space, at the same time is responsible for any damage that its space objects may cause. For example the US is liable if a Starlink satellite fails and its debris fall to the ground in your country.
As for espionage, every country conduct espionage. It's very likely that your country's intelligence service either has spy satellites or buys satellite images for surveillance purpose.
Then there's the increase in velocity since the orbit is now smaller, which is about 300 m/s.
So overall the drag force doubles, but there's no way to tell how long the lifespan is without knowing a coefficient of drag and using a much more complicated atmospheric model that takes into account things like Sun and geomagnetic activity.
Electric flywheels can only alter the attitude (orientation) of spacecraft, not its orbit. For that you need fuel.