1-extremely high fees drives people away from self custody bitcoin, it makes bitcoin more like gold, wich is almost useless as money.
2-increase of blocksize is the most elegant, clean, and easy way to allow more people to on-board bitcoin.
3-Problem is how to implement it, it should be dynamicly adjusted with a max cap in time, and problem is it requires an HF. HF on it self isn't a big issue, it's more of a "political", "social" one.
4-Hardware costs and centralization arguments are stupid if we are talking about small increment over time.
5-Arguments that then people will fill the blocks with crap is stupid.
6-Arguments of poor miners and "security budget" are dumb, any decision with the purpose of influence that market is dumb.
7-None of this invalidates layers 2.