Yes, we're building apartment blocks with retail on the ground level.
No, we aren't re-zoning single-family home zones into something else. At least not with any regularity.
No, we aren't dropping minimum parking requirements in favor of market forces.
Yes, we still subsidize driving through "free" on-street parking.
Looking at my neighborhood, I'm about 1.5 miles from the subway and 2 miles from the closet grocer. Not bad by suburban standards, but it sure would be nice to have a market/bodega down the block. But, it can't happen because between me and the grocer is ALL residential. You couldn't buy a corner lot and build a shop if you wanted. At least not without spending mega-$$$ on buying off politicians to update planning maps.