Simple put why don't single camera shows like The Office or Arrested Development ever use laugh tracks with over the top, typical punchline jokes and why don't multi camera shows like Friends or The Big Bang Theory use subtle, dryer humor?

It has to do with how technically limited the multi-camera set-up is. Because of that set-up, you are limited to only shooting in an enclosed area, typically a particular soundstage. This is why on multi-camera series you usually see the storyline take place in the same setting every episode; for example how most of the "Friends" episodes take place in Monica or Chandler's apartment, or how most episodes of Alice took place at Mel's Diner.

With single-camera series, there is more flexibility because it is easier to move one-camera than it is to move a four-camera set-up. This typically translates into more sophisticated storylines and writing. A good example would be the show "Arrested Development" which employs a lot of sight gags and intentional bloopers that would be nearly impossible to do with a multi-camera set-up.

Sometimes it is simply a function of the writing; some shows simply make more sense to a particular format. For example, I can't imagine "Cheers" working as a single-camera show. It would lose some of its appeal, there would be too many characters to follow, whereas by utilizing a multi-cam format they were able to center the action on one singular hub in which all the characters entered and exited. From which all the plot points were derived.

I think it's interesting when some comedies switch from single to multi camera. Happy Days and Odd Couple (original) switched. And after the MTM pilot was filmed single camera, they switched.

One other odd switch: Newhart was always multi camera, but after the first season, switched from videotaping to filming.

One other note: in most cases, the sets almost always look more realistic on single camera comedies. There are exceptions--one of the best looking multi camera sets I've ever seen was for Two and a Half Men.

I have no hope for any single camera show now. In the 60s, when standards were higher, it could be done and work well. Now it's an excuse for lazy and terrible writing. I think that's why they like it. If they put scripts like this in front of an audience, the lack of laughs would be embarrassing to the actors.
One camera shows now take much less effort and talent.

The best single current single camera show is The Middle.

I don't watch modern shows but multi camera setups were invented by Desi Arnaz for shooting with a live audience and I imagine that continues today. It's impossible to shoot a TV show with an audience with one camera. Happy Days and The Odd Couple switched from one camera to three cameras because they went to a live audience. Talk show and news shows; those filmed in one take, are also filmed with multiple cameras. The only episodic shows without an audience I ever worked on that used multiple cameras were soap operas, because they had to shoot a show each day and didn't have time to reset with one camera.

I don't watch modern shows but multi camera setups were invented by Desi Arnaz for shooting with a live audience and I imagine that continues today. It's impossible to shoot a TV show with an audience with one camera. Happy Days and The Odd Couple switched from one camera to three cameras because they went to a live audience. Talk show and news shows; those filmed in one take, are also filmed with multiple cameras. The only episodic shows without an audience I ever worked on that used multiple cameras were soap operas, because they had to shoot a show each day and didn't have time to reset with one camera.

One other option that was occasionally used: play back a single camera comedy to an audience, and record the live responses. This was done with The Adventures of Ozzie and Harriet , The Burns and Allen Show, and some early episodes of The Andy Griffith Show. Invariably, they would "sweeten" the real laughter when needed (multis use this, too), or moderate (edit) it when it was exaggerated. Other one camera shows use only canned laughter, or in more modern times, no laughter.