As a previous owner of an iPhone and now on my second Android phone:
1st I treat android market as a simple “apt-get” installer for my phone.
I never use it to look for applications, I use Google search or web reviews instead and use the QT codes to get my applications. Same thing I would do with any Windows or Linux application. If you want the secure walled garden go use Amazon or start your own app store, no one is stopping you, hell you can maybe even make a living off it.
Sure there is applications that can harm your phone and yes there is plenty of applications that copy others. I rather have the power myself if I want VLC or some porn app on my phone than some corporation that thinks its inappropriate. Sure if I install all kinds of junk without reading reviews and looking at security permissions I deserve to install and AV application or have my data send, this is happening to PC's all the time, what makes my phone any different after all it is a “personal” computer.
I can find plenty of games that is similar/copied to ones being sold by big developers on the PC. The difference normally is support + quality. Yes Google takes it time to remove offending software . I rather them do a proper investigations than some competitor being able to remove my app just cause he made a simple request to Google.
Give me free market any day isn't that what capitalism is all about? Or do you want to live in a social environment where you have some government(apple) tell you what you can or can not have on your phones.
Only problem I have with Google market is that allot of countries are still not allowed to have/get paid for applications like China, India, South Africa and so on, maybe if they address that issue we wont have so many copied applications cause I do think many are copied and replaced as free just because people in the countries above can not access the paid for applications. Just give everyone access to paid applications. They can still limit the developers in those countries to upload free applications only if they afraid of them selling pirated software.