Fewer signals make safer roads?

A seven-year experiment in a Dutch town has removed nearly all traffic signs and lights from the roadways. The theory was that fatalities and injuries from car-pedestrian or car-bicycle collisions are due to drivers' sense of entitlement to the pavement, enhanced by having a green light.

The result of the light removal is that there have been no fatalities and that drivers use greater care. Apparently, people can actually get around town faster this way, as well.
These transportation research folks and road engineers basically argue that we'll have greater safety and less pollution by letting traffic self-regulate (a la sidewalks).

Note: I didn't have time to dig deeper, but the source of these theories is the British-based Institute for Economic Affairs, and they seem rather libertarian (surprise!).