We will probably never be able to get rid of traffic completely, but we could greatly increase the capacity of a road. If every car was driven by a robot, then the distance between cars could be much smaller than it is right now.
Precisely. Traffic is not caused by human error, Traffic is made worse by the margins of safety required by human error. Take human reflexes and perception out of the equation and you don't eliminate the problem entirely, but you allow for increased efficiency.