Jeff and Gavin's statement recently:
"However, in the short term, we have a disappointing situation where a subset of dev consensus is disconnected from the oft-mentioned desire to increase block size on the part of users, businesses, exchanges and miners. This reshapes bitcoin in ways full of philosophical and economic conflicts of interest. "
I'm more interested in the philosophical conflicts of interest here, unfortunately they did not mention what are they. I believe bitcoin's long term success will depends on its core philosophy
For example, everyone without permission can set up a full node and start to mine bitcoins (p2pool), thus become a part of a decentralized global banking system. It is this free of entry all the way into money creation attracted so many enthusiasts. So I think permission-less is the core philosophy of bitcoin
Following this philosophy, if you have too high barrier of entry (too high requirement on hardware and mining investment for individuals), then it is not a permission-less system any more
Similarly, everyone should be able to use the blockchain to do transactions without permission
So that is the conflict of interest here: If you want every one can setup a full node at home and mine bitcoins, then you should keep the block size small, thus not everyone will be able to use the blockchain to do transactions. There should be a balance between these two considerations
I just had another idea: If you setup a full node, then you can do transactions cheaply. Easy to explain, difficult to implement

I presume that you did not read the posts I linked earlier that I wrote. In there I explained how increasing the blocksize, does not increase the barrier to entry of mining whatsoever. Miners do not even run full nodes themselves for the purpose of mining, which is why the increased difficulty of running a full node does not increase the difficulty or barrier to entry of mining.
I am a miner myself, solo mining is only feasible if you are a huge industrial operation, not exactly contributing to decentralization. P2P mining unfortunately is not good enough both due to the increased complexity and incompatibility with certain ASIC miners, this is reflected in the hashrate. More then seventy percent of the mining power is presently inside of public pools, this is a good thing. Pools promote decentralization compared to the alternatives, pools are like a form of representative democracy for the miners.