Speaking personally, I would rather have a slightly longer commute than move deeper into the city to get to work--I like being able to see the occasional piece of greenery and not be constantly breathing petrol fumes! At the moment my commute varies between about 1.25 and 2 hours a day, depending on traffic.

Edit: That's both ways, by the way--I don't think I'd want to do a one-way two hour commute!