I've been forecasting exactly the thing mentioned in the blurb for years. There are only so many hours in the day for people to seek to be entertained. Entertainment comes in many forms television being one of them. So lets say that the hours people watch TV (or other media) per day is capped at 8hrs eg, every waking moment that isn't work or sleep. That means that television viewership can ONLY grow at the expense of other television viewership OR at the population growth rate. I would wager good money that the number of hours of media produced per year is going up at a rate substantially above the population growth rate.
Added to the fact that the old media content is still accessible the figure of "new content produced per year" should probably be adjusted up by some scaling factor of content produced in previous years (probably a belle curve since the older the show/movie gets the less likely it is to be seen).
A race to the bottom is ensuing.... the problem is its a race to the bottom in terms of quality.... not price. If they cannot get the viewership, they cannot get the money to support the show. Advertising revenue is more or less fixed at # of eyeballs on screen. This yields designing shows for the lowest common denominator.
Wouldn't it be nice if a tv show when its announced would tell you how long it was scheduled to run. Say if networks were forced to buy the show as a package and not piecemeal episode by episode or season by season? It would kinda force network execs to commit to shows or face legal recourse. Say if they cancel it after 2 seasons and it was budgeted for 5, they have to pay a big penalty to the show creator for breach of contract.
It might also have a beneficial effect on the show creators whereby they know how long the show is going to run for before starting and they can pace themselves. It could also help prevent "jumping the shark" where shows just go on endlessly because its still profitable but long ago lost all purpose.