[dragonwriter]

> Moreover, I think many people are upset with the scope of Google's punishment. De-weighting RG is one thing, nuking it into the ground is entirely different, and is in my opinion unwarranted.

If the impact wasn't significant, it wouldn't be a disincentive to engage in black hat SEO.

> There is no reason that a response of this magnitude by Google is justified

Yes, there are reasons. The reasons are "specific deterrence" and "general deterrence".