Fix issue where preferredPath is incorrectly calculated

[mlucool]

preferredDir seems to be unsued in all of the jupyterlab codebase so this was removed as well

[codecov-commenter]

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[blink1073]

Thank you!

[mlucool]

Thanks @blink1073! Is there a release planned soon? If not, I can install from this commit for the time being.

[blink1073]

I'll cut a release today with this and #234

[krassowski]

I think this fixed jupyter-server/jupyter_server#647, is this right?

[mlucool]

No. I think that needs to be solved here: https://github.com/jupyter-server/jupyter_server/blob/main/jupyter_server/serverapp.py#L1539.

I'm not sure what a solution looks like. Imagine:

> root_dir=/foo
> pwd=/foo/bar/baz
> ls $pwd
foo
bar
> preferred_dir=bar

What does preferred_dir mean here: /foo/bar or /foo/bar/baz/bar? Today it means relative to cwd like all other directories (i.e. /foo/bar/baz/bar). Now we want it to sometimes means relative to root_dir and sometimes to cwd.