If this limit increases faster than than the interest in spending money for transactions then it will kill Bitcoin.
Bitcoin has survived for 6 years without the block size limit effectively constraining the block size, why will this established pattern suddenly reverse if the limit is maintained high enough to not constrain the block size (or removed entirely?)
It has to cost quite a lot to do transactions. If it doesn't there will be too little interest in mining, and a 50% attack will be cheap.
That would certainly be the case, if multiplication didn't exist.
Fee revenue is (number of transactions) * (transaction fee)
Because of the magic of multiplication, having high transaction fees
isn't the only way to have high fee revenue.
As a matter of fact, the producers of every product and service in the economy (except a few minor corner cases) maximize their revenue by increasing volume, not price.
The reason they do this is because competition works to drive prices lower over time.
Bitcoin is subject to competition, therefore attempts to maximize fee revenue by restricting supply will fail.