There are plenty of examples of this working just fine around the world, i have personally been to one of them and it's almost a magical place to be in.

It's not that hard to figure out the solution really, just tell drivers to suck a fat one and design around public transport instead. Build a railway into the countryside and surround every stop with a commercial area with housing around that, this is how the suburbs to the northeast of Gothenburg are constructed and it obviously works and results in some of the nicest places i've been in.