Yes, for manufacturing/assembly I tend to try stick with nothing smaller than 0603, though now and then you have to break out the 0402's, never willingly (would rather design in a 1206 jumper on the other side). Recently I've been fixing iPhone PCBs and it's really pushed the limits on my equipment with its obsession for using 01005 even when it's far from required.
I'm on the look out for a good binocular (or even tri) microscope, cheap enough if you're in the USA from Amazon but the shipping to here in Australia is obscene ($399 scope, $650 shipping

).