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Wrong, wrong and more wrong.
The 1MB limit was put in place in 2010, not 2008. Actual bitcoin network upload speed (the real bottleneck) measurements show upload bandwidth for nodes at edge of network is growing at closer to 17-25%. (This disregards data caps for total bandwidth available also).
So you have made a case for 8 MB rather than 1 MB. As for data caps I currently have a
residential Internet connection with no data cap. I got this a little over a year ago when it was first offered. When Bitcoin was first released it had an effective 32 MB blocksize limit.
On a related note. One of the negative impacts of the 1 MB limit has been to encourage vertical intergration of ASIC production and mining in China. A higher limit would have encouraged the export oF ASIC hardware from China since China itself is an edge case for Internet bandwith and latency because of the great firewall of China.
There are valid arguments against BIP 101 but decentralization is not one of them.