Yes, the piracy was a result of the industry not giving consumers what they want. Music consumers wanted the convince and savings that come with digital downloads. Now that they are finally doing exactly what customers want, they are doing ok again.
Gamers have made it clear that selling used games is important to them, as evidenced by xbone preorders vs ps4 preorders. Even if everything you say is true about used games, if its not economically viable then companies need to stop spending so much on making games. Either they can scale back or start demanding the same talent for less money, or some combination. Higher prices might be part of it too, they need to figure that out. In the end we may find the current variables make this economically unviable, but its not ok to try and destroy a legal market because they don't want to figure it out.
Hardcore gamers only made one thing abundantly clear over the last couple of weeks, that they (we) CHOOSE not to look ahead and would rather live in past. We made it clear that we didn't understand what was in front of us, and because of that, quick progress was staved off due of lack of understanding and fear.
Console gamers are used to what we have now because it is what we've always known (many/most PC gamers that I've run across under stood what MS was going for). Most console gamers won't admit it, but it is clearly there, a fear of change, as they have no clear understanding of what wide spread DD would bring to this industry. They (you) cannot imagine what things would be like if physical media didn't exists, and think that if the devs and Pubs had "more." that they would seemingly raise prices so much that they would screw us customers, and essentially kill the industry to do it. How ridiculous is that?
Would you still buy games if they were all $100 a piece?...plus micro-transactions and DLC??? Do you think that there would be a wide spread market for a $100 MK10 where we bought all the outfits and characters, and were charged for an online pass? The fact is that there is a balance in all business, and it is the customers who dictate the prices. If prices were raised to the levels that so many fear, the game companies would loose money...and no business wants that.
Anyway, regardless of how any of us feel, or what any of us say, slowly, and surely, disks will be phased out, and by that time THEN (hopefully) we'll be ready.
Another thing before I end, do you actually realize how much games used to be? How much less we pay today, and how much more we get for our inflated dollar in the present vs the past? I don't know how old you are, but back in the day I got Mortal Kombat Trilogy for $80 on N64; I had it on PSX as well and it was about the same price. The overall trend of the gaming industry is that even though dev costs got up, consumer prices still come down. DD for all game will only bring about the next boom in the gaming industry, not because devs can make more money, but because the customer will win.