The major flaw in your argument is that the quality of teams has to stay consistent. It doesn't. You're right that with less managers it's only natural that the quality of players is going to drop as well, but that's not necessarily a bad thing. When BuzzerBeater was starting out and had only a few thousand people playing there obviously weren't top end players like we envision them today, but there were top end players relative to their time and the amount of people playing/training. I'm not saying that lower quality players and teams is a good thing either, but it's a non-factor as everyone is going to be on a level playing field regardless of the quality of players.
It worries me that a BB is saying something like this. I can't comprehend the kind of thinking that says its ok if the quality of players drops. I don't really care what Buzzerbeater was like when it was starting out. For one thing, I wasn't here, for another its a different situation entirely as presumably then the user base was rising and not falling. Don't tell me its stable now just because for a few weeks there's been a tiny rise. That's not statistically meaningful.
The idea that its a non factor because we're all in the same boat sounds nice, because we're taught to believe that, but its utter nonsense. A diminution of quality brings all teams closer together in quality, making random events more meaningful than they are now, and making luck a greater factor than skill or knowledge. Not especially something I'd be looking forward to thanks.
Lastly, and this is more of a general comment to everyone, I readily admit that the transfer market is not in a great place right now. I suspect something will need to be tweaked in order to quell the mass inflation.
Well, it took long enough to notice. Other people noticed it long ago, I'm sure some predicted it in advance. As far as we know Marin still thinks inflation is a good thing.
I understand the fact that game economics require a conservative approach, and that large changes are risky. But a tweak is not going to work. The decision to stop free agents over 60k salary was a huge mistake, and one that went against the conservative approach. It needs to be looked at again, before more of those players disappear from the game.
In addition, you really need to read Lemon's post again. Point 1 is on the mark.
Incidentally, if the quality of players falls, salaries fall, profits increase and (I know you can see what's coming here) inflation will increase.