It was an interesting read.
1. He misses one potential solution (or mitigator). You can trick consumers into paying more by selling them multiple books instead of one really thick book. Consumers who would never, ever pay $100 for a big, thick hardcover book with high production values will in fact pay $100 for three medium sized hardcover books with high production values. This probably extends to other types of products as well.
2. While I agree that the pdf "race to zero" is going to have an effect on the overall market for RPG materials, he seems to be directly and specifically blaming Paizo. I'm not sure that's warranted.

Consumers were going to demand cheap pdfs relative to book costs whether or not Paizo led the way.
3. The "blame young people for being too lazy to game or even hang out with friends" thing is moronic. If I ever start doing that, I hope my wife has me put down.
4. I don't entirely agree with his assessment of the initial days of 3e- I think that reviving a flagging product line was as much or more of a factor than bringing back older former gamers.
5. He doesn't address the whole "competition with WotC" thing. WotC's ability (and the ability of other larger game companies) to sell in bulk and set prices based on bulk sales sets not only expectations, but also sets the cost of products with which a small publisher's products must compete. Willingness to pay a set MSRP isn't based solely on things like "entitlement" (whatever the heck that is), but also on what you could purchase instead for the same money. The rise of big game publishers is going to, by its nature, have an effect on smaller game publishers. Its no different than Borders pushing out your local privately owned book store.
6. I do not believe that edition wars are instigated by an unconscious desire to tear down other game companies so that your favorite one can survive.