So there are two solutions to the noise problem, better sound isolation or putting dwellings further apart. Why have you decided that one solution is an obvious winner over the other? I really think you need to inspect your own assumptions.
As for putting dwelling further apart, that's why we have the suburbs.
Look I don't mind if you want to live with those things. No issues at all. If you love it, go for it.
Just don't make me do it.
And yes I've lived in properly built concrete apartments where I did not hear my neighbors at all and I had no balcony and I was able to open my windows without issue. Not in NA and I had one of the very luckily located apartments out of like 100 in that building.
I've also lived in concrete apartments with a balcony and all the problems I described earlier. Never again as long as I can help it.
When Boeing or Airbus announce a new airplane, they come up with all sorts of luxurious concepts that would make air travel less miserable if not enjoyable. We all know damn well that the airlines aren't going to do any of that except maybe for first class. Housing is the same. Cheap out on everything, pack 'em in, profit. Then when there's a big fire or it all falls down, close up and start again under a different name.