VSCode is difficult to configure if you use a different tsconfig for your tests and your production code

[DanKaplanSES]

What is your Scenario?

I've been asked to break up the trade-offs listed in #7978 (comment) into separate issues so they can be discussed individually.

What are you suggesting?

VSCode is limited to parsing a root tsconfig.json (at least, that's my interpretation of that linked issue). This can cause problems if your production code is written in typescript, too; how do you make sure VSCode uses the correct configuration for your testcafe test files and the correct configuration for your production files? VSCode will only use one tsconfig file at the root (unless you use project references).

What alternatives have you considered?

No response

Additional context

No response

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