So the basis of your argument is get on your bike and move. The problem with your argument is that social cohesion would suffer. There would be no community,no roots,in fact no identity outside of an economic one.
Seriously though, where I live in Chichester there's a pretty good sense of community. Very few of the people there grew up in the area, they've moved there for a better way of life. It's the same around Windsor and Maidenhead too.
It did fail it was bailed out. It was saved by the state. You may not like that fact,but it is a fact none the less.
Some banks failed, they shouldn't have been. Capitalism would have carried on regardless, just as it always does.