Quote from: Verse on September 18, 2014, 08:36:36 PM

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I also feel inclined to point out that miners might not want to increase block size, since keeping a constant supply against increasing demand would cause an increase in transaction fees and therefore profit.
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I certainly agree with this. And if the total value of daily transactions is high enough then I'm not necessarily against an increasing transaction cost when we encounter the blocksize limit.

On the other hand...

If, as you point out, the "market cap and average BTC per address directly affect how much wealth can be transacted through Bitcoin in any given period of time" then a low market cap or low average BTC per address will result in a lower limit on the amount that users are willing to spend on fees per transaction. As such, the only way miners would be able to increase their net income would be by increasing the maximum blocksize.