As you cheapen the cost of production you also reduce the production value. I can tell a show that was written for network TV, superstation TV, cable, and web. They all have their look and feel, and as production quality drops, so does viewership, which in turn reduces the marketing value.
If those are linear functions, or if reducing the cost is faster than the rate of marketing value, all is good. New equipment can make that happen.
But writing, acting, directing, etc. often reduces the marketing value much faster than the rate for reducing the cost.
Everyone in the ecosystem that creates and delivers a product deserves to make a good living. I would add that the statement applies to any industry anywhere.
What is wrong with the current system is that the consumer has very little feedback unlike just about any other product. Most things are tied up in knots. The only people that don't pay for SyFy are those that don't have TV service or are on the lowest tier package.
I am willing to pay more
for better content. The lack of a free market prevents content creators from getting that money.
It's a stupid system.
And BTW, I've seen the cheapening/devaluation of labor. I used to do software engineering! Ask engineers about the many jobs that were shipped to India/China and the remaining jobs demanding 2 or 3 times the output for the same money.
Maybe that is the root of everything - increasingly unjustifiable redistribution of wealth.