These mechanisms among others are much more effective at traffic calming rather than putting up more damn signs to clutter things up, and hiring more cops. But of course fixing streets costs money, and police issuing fines generates it, so it's not shocking that most municipalities go with option B.
Not fixing streets is 'free' and reduces the perceived safe speed. Letting the streets crumble is a win win.
This doesn't entirely work, eventually the street gets unusable and it's often much more expensive to rebuild it than it you had done timely maintenance.
Growing up in Australia, my dad pointed out two things to me, learning to drive: 1) that in my state at that time, you were required to drive at the maximum speed that was: within the limit, appropriate to the conditions and your ability to control the vehicle, and 2) that if it was to directly and imminently avoid an accident, a driver is permitted, for the minimum time possible, to ignore any road law (i.e. you cannot be cited for crossing over into oncoming traffic if it was to avoid traffic about to hit you. It was also commonly used for people cited for speeding while passing another vehicle - you'd appeal, and say "While I realize that I am still required to obey the speed limit when passing, as I was doing so, the vehicle I was passing adjusted its speed putting me in a situation where I felt the safest course to avoid an accident was to accelerate past them and then return to the speed limit").
But yes, as someone who was both a paramedic for 14 years, I've seen more than my fair share of drivers who think that they are safe (which, to be clear, is general commentary - I obviously don't know you).