It really makes no difference which view we hold because there is a limit to what each of us can buy or even want to buy. Most of us who work in this space have seen enough advertising in the last couple of years to last a lifetime. What is really sad is that these messages have been presented to us when we are alert and at work but our brains have become impervious to the advertising content. I seem to remember a law of supply and demand. Before the Internet there were at least three established channels that sellers used to attract my attention.
Today there is one more.
As I mention above every week I get to look at least twenty sites. Too many are cluttered with mediocre content and the majority offer a bunch of inconsequential banners. So back to Economics - I really don't think I am buying anything more than I did ten years ago but the flow of advertising I am subjected to has increased significantly. Grant Crowell, in a post to the I-Sales list, pointed out problems inherent in a pay for performance relationship. Those certainly exist but it seems to me that such a relationship could be mutually beneficial.