Great stuff. Let me try to add to all this:
1. Perhaps we should make food production more like in the original design. That is, food becomes a global resource.
2. Housing is NOT going to go away. For one thing, it's "boring" right now because it's largely just a required step for every city. It's not housing itself. It's anythign that doesn't really provide the player a choice is something that should be eliminated.
3. Another reason housing isn't going to go away is that in the graphical mode of the game, which you don't have yet, housing really helps make your cities visually interesting and lively.
4. But the main reason housing isn't going to go away is that it provides a means for players to decide which cities they want as their big population cities WITHOUT monkeying with sliders (there will be no sliders in Elemental thank you very much).
I think if we move food to be a global resource then housing matters a lot more because it's how you decide where that food is going to be distributed.
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How exactly do you see this, Brad?
Possible Additional Solutions: Food is a limited resource, and when it needs to go to a different city to feed people there, it must travel by caravan, much like the current caravan situation in GC2. Your caravans fail, you are in big trouble, and your population suffers.
Magic: Why shouldn't there (also?) be additional magical solutions to people's agricultural-gastronomical problems? Shouldn't some spells powered by earth and water be able to sate some people -- and not just increase the fertility of certain tiles? Literal mana (in the original sense of the word) from heaven raining down upon the people in need shouldn't be too hard a trick.