the result would be: more ads, as competition drives down prices worse ads as cheaper adds don't need to be as relevant but do need to be more eye catching /

the result would be: more ads, as competition drives down prices worse ads as cheaper adds don't need to be as relevant but do need to be more eye catching / shocking to compete for attention. That's exactly what happened already — because of Google. Before Google AdSense, web sites used to be able to select high-quality ads from reputable advertising companies. You could get $100+ CPM for some campaigns from TribalFusion. Then AdSense appeared, and drove CPM rates into pennies, which is why web sites are so loaded with advertising now. You used to be able to make a good living running a high quality web site that served one ad per page. I know, because I did it for years. Google destroyed all of that. I won't cry if someone else does it to Google.