EDIT: Oops, I had only read the first page of this thread when I posted this so completely missed 4 pages of the discussion. Hope it is still relevant.
schaefera said:
This also makes sense-- but why doesn't the distance between the ships shrink along with the string? Shouldn't it all be length contracted?
It does and it doesn't

...bear with me and I will try and explain. Imagine we have two spaceships parked on the ground that 1 kilometre apart. They are joined by a 1km string. This string is designed to snap when stretched to twice its rest length. In the ground frame both rockets take off simultaneously and accelerate equally, such that they maintain a spatial separation of 1 km at all times (as measured in the ground frame). When the rockets reach a velocity V, which corresponds to a gamma factor of 2, the length of the string in the ground frame should be 1/2km due to length contraction and is stretched over a space of 1km so it snaps. In the ground frame, there is no length contraction of the space between the rockets. Length contraction requires we have a velocity and we cannot assign a velocity to the space (vacuum) between the rockets.
Now let us have a look from the point of view of the rockets. Initially they see the separation as 1 km. As they accelerate the space between them appears to increase and as they arrive at the critical velocity V they measure the space between themselves as 2km. The string is approximately at rest in there reference frame because it is co-moving with the rockets so it should have a length of 1km but it is stretched over a distance of 2km so it also snaps from their point of view. (note that I am using a loose definition of rest frame for the rocket observers, because from their point of view they are are not exactly at rest with respect to each other, but it is a reasonable approximation for our purposes).
Note that according tot he rocket observers the distance between the rockets is 2km and according to the ground observers the distance is 1 km, so there is a sort of "length contraction" of the space between the rockets because different observers disagree on the length, but at no time does the spatial separation between the rockets contract according to any observer. In fact the distance expands according to the rocket observers and remains constant according to the ground observers.
The string on the other hand can be assigned a velocity relative to the ground frame and so it really does physically contract according to the ground observers.
In summary, according to the ground based observers the string contracts, but the space does not and according to the rocket based observers the space expands (because they consider themselves to be moving apart from each other) and the theoretical length of the string remains constant. The space between the rockets according to the ground based observers is 1/2 the distance measured by the rocket based observers, so the Lorentz transformation of space is still satisfied, even though there is no actual "contraction" of the separation space according to any observer.
You cannot accelerate space (vacuum) to make it contract, but your perception of the space between two markers can vary with your velocity relative to the markers.
If we do a variation of the paradox, whereby the rocket captains are instructed to maintain a constant distance of 1km between their rockets (by their own measurements) as they accelerate, then at the critical velocity V, the ground based observers will measure the space between the rockets to be 1/2km and so any string between the rockets will not snap, because this time the string and the separation distance, length contract at the same rate according to the ground based observers, while the rocket based observers say the string length and separation space remain constant so they also agree that the string does not snap.