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As "gay" as I think it looks, I've also been considering something like the Smart car because it's only $10k-$15k and gets about 50mpg like a bike but is more visible to non-attentative drivers.
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I get about 4 car magazines a month, All of them have said the same thing. You can get an Aveo, Civic, Yaris, etc with the same or better MPG and more space/trunk, and more crash crumple zones. The Smart cars are currently turning out about 35-40mpg, just as good as the civic etc.
If the smart car consistently turned out 60-70MPG it would be much better and worth the price, but what they are saying currently is, that it is not worth the change.