Thumbs up Anthony... Valid post. Everyone should give you thumbs up for such a generous (and accurate) assessment.
I do hand-write each one. I am a content man. You look like a content man, yourself judging by the length and generous amount of time you put into this post.
I agree with you that the content route isn't for everyone and that even with great content you still need traffic into it to generate links. However, I think that attracting the links can be easier than many people think. For example... if you write a great article about science or tech it might be successful on slashdot and attract a lot of visitors and links from just a posting there. For other topics stumbleupon, reddit, digg might work.
Or, as long as you have just a little traffic into your site, instead of spending the time to "market" just turn out another article. I agree that links accumulate very slowly this way but they do accumulate and they are great links. Articles might launch without much rankings at all but a year later they have reached visibility without promotional effort (as long as you do have high quality content).
I think that the concerns that you describe are valid and correctly point to my method as being slower to rank. But at the same time it is building a more valuable site.
You have done a great job explaining your position and I agree with what you say. I hope that you will link to this thread frequently when you think people need to see the alternative point of view.
I'll close with adding one more point in favor of your argument.... The type of content that succeeds with passive linkbuilding needs to be above and beyond what the typical author produces. You need best-on-the-web writing with media such as great photos, data, references, and maybe some graphs. A big investment and expensive to produce. Most people don't have the resources or desire to produce it. If you don't have that then this method isn't going to work at all.
Nice post. Great debate is what makes a good forum.