Erik,
I agree with you.
I am not against pixel resolution. 12MP image a great and more MP can give the image more--I actually like lower rez sensors for the more 35mm filmish look or structure or rendering (it does not look like film, buy rather a limit in frequency). Our perception of images is far more complex than just reducing the problem to resolving power and pixel resolution. But likewise just going for more and more pixels has diminishing returns. When making calculations, how many significant figures do you use? Would you build a house with a ruler accurate to a micron? In images, how many pixels?
Personally, I don't know where the limit is to pixel size or to pixel resolution, at least in a simple number. I guess what I react to it a simple view the smaller the better, the more the merrier. Given a choice, I would take fewer, fatter pixels and larger sensors. But at work we do scientific imaging with 1.25MP to 4MP microscope cameras with 7-9um pixels. I have even made 24" prints from those images. So maybe I have a different perspective from most. The manufacturers will keep pushing pixels like drugs; that is what the people (and addicts) want. I am also noticing a loss of acutance in optics because they need more resolving power, so there are systemic changes that do affect the results.
My too sense.