Jack,
I agree but I think in Europe at least, no-one can get the premiums they used to - even LH is pushing more seats into every short hall airframe and diluting the product to reflect the actual yields they're getting in the face of the LCCs. With the possible exception of BA's LCY - JFK op, the current yield environment just doesn't seem to support operations focused exclusively on high yield operations. But if you start with equipment that has to generate high yields to be successful (i.e. a 50 pax high speed turboprop or RJ) options to reconfigure the aircraft to enhance overall revenues are limited. I guess there might have been a small window post-9/11 and pre 2008 when there were enough unlimited expense-account bankers flying around to make a high yield network feasible but I think that window is now well and truly closed!