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What year
First, the assertion that 'attendence implies competence' begs defining. Do you mean to say that everytime a team builds a new stadium they get better? I do understand that you are trying to show attendance as evidence that the overall quality of the game has diminished.
So for clarity, please tell me exactly what year are you comparing to 2003. Without a clear point of comparison, this whole discussion is just too unfocuss. In what year was the game of baseball played at an overall higher level then it is now?
I think attendance does not measure competance anyhow. It measures value. You should look at the total dollars taken in for a measure of purceived entertainment value. Also look at the total broadcast audience - at least consider that there's a lot more baseball on TV then ever.
Finally, attendance is down because of the little economy problem. Restaurants are in their worst period EVER. I don't think its because they make worse food, or because the chef talent has become watered down. Its because people don't have jobs.
This whole assertion that 'baseball was better when I was a kid' goes on for ever - every generation. Its about growing up and realizing that the players are mortals. If you really want to argue that there was an era that baseball was better, pick an era and lets discuss it.