Dialog View (formerly List Font) is a control panel that allows you to change the font and size used in directory dialog file lists, and display the real icons of files in such lists. It requires System 7. If you use it together with my Open-wide program, you will be able to use larger fonts without cramping the list.
Dialog View uses undocumented system information. I have tested it with System 7.0.1 and System 7.1, but it could break in the future.