in Google's defense I need to say they must be overwhelmed with the amounts of applications and grey area web sites they have to look at. I am assuming their employees do close their eyes from time to time. Not sure that the top guys are even aware of it.
Well, what some people do is they create of lift a legit looking site, submit to google. Google approves. Then they create a bunch of scraper sites since they are already approved. If google really wants to end this problem, they should have to approve every different domain. but even this isnt sufficient..i duno the battle of spammers vs google will probably never end.
I don't think so either, the man hours of human editing it would take to create a perfect system is unimaginable. Look at DMOZ, they have "volunteers" but you do get what you pay for, overall speaking.
Seems to me that you can design a site which is "adsense aware"; but that is only the first part of the project, the next part is to build a site which will actually attract traffic. For that content is critical. Realistically, if advertisers had the choice - which they do to some degree - would they want to be paying for ads on an Adsense optimized site or for ads on a great site which has Adsense...I know which I'd choose.
Not necessarily. A lot of these dynamic made for adsense sites are merely scraping Yahoo, Google or MSN search results and redisplaying them as a directory. They can target a huge range of non-competitive SERPs. Since there is little work involved in building the site, it's just a numbers game.