The simplest (and craziest) solution for Red

[Splorf22]

Start every new character at L30 (maybe even 40) with reasonable gear/skills/spells for that level. OK, this sounds a little crazy but it has two huge advantages: it compresses the limited population into a smaller range of levels and zones, and it allows new players to skip the horrible solo grind to 40 where they can actually meet other people.

Discuss. Or flame. or whatever.