Perhaps it's different in your area, but I live in the Puppy-Mill Capital of the East.
Speaking as a Pennsylvanian, I'd rather have those theoretical puppies than 99% of the purebreds in my tri-state area.
Among purebreds, what we see locally is the Mennonite/Amish special (inbred, factory-farmed of dogs with no respect to genetics, temperament, or welfare, sold at the highest price the owners can finagle) and the imported-stock show dogs, which come with a price tag upwards of a grand. Anything that crowds out the first type of breeder is something I will promote heartily.
As for "adopt, don't shop," well, that's where the puppy-mill cast-offs go. My sister volunteered at the local shelter for a while. The dogs that stayed had an inbreeding-induced condition or were older than dirt. Healthy, normal dogs were adopted quickly. (Cats, on the other hand...)
I'm not interested in an expensive purebred when an intelligent mutt fulfills the same function with a lower chance of health problems, and I've not yet seen any puppy last longer than a month in the local classifieds. There's not exactly a low demand for them.
At least with this sort of backyard breeder, I can come over, see the parents and know that they are well-cared for and healthy dogs. Or not, as the case may be.
(Now, what I'm waiting for is the puppy market crash, when all of the get-rich-quick puppy-millers overwhelm the market and have nobody to buy their stock. They deserve everything coming to them.)