The narrative fits the US hopes and dreams very well, so well in fact that many believe it. I'm not saying people shouldn't be allowed to publish (and in fact they are) but this is a lot like the "I would be a rockstar if someone would just give me a break" story in music. Are we swimming in out-of-nowhere hits now that nearly everyone can buy everything you need to record/publish for less then a four-track recorder? No. The reason people aren't billboard no 1s/NYT bestsellers/directing the next Paramount isn't that the man is holding them down, it's that they suck at it. More cash won't change that much (an editor and a staff helps, but it's not a cure-all either).

That said, sure, the concept of books is in serious need of help and e-readers including kindle do help some. I know several people who hadn't read a book since high school but suddenly got used to reading on kindle/nook/their laptop/phone and suddenly trade suggestions and (gasp) purchase actual books. This is a positive, seeing as getting them to sign up for a library card or even giving them (no strings) a physical book to read was usually met with suspicion.