If the films that have been censored hadn't been, I don't think anyone would be directly be suffering other than the politicians who have some of the public screaming at them. However, if there were no censorship, producers would know they could put anything up and perhaps we would get steadily more and more filth on the screen. Obviously that's hard to be sure about either way.

I think the minimal complete censorship they do now (which seems to be entirely sex/violence related) is probably in about the right place - if people and papers on both side are complaining, that's a good sign you might have found the right balance!