Some good points. Would they be playing DI anyway. I'd like to think yes. I just think they might be playing for a different DI team.
I get the chicken egg reference. Not sure how to answer or more accurately, don't know the answer. I only know the results.
infielddad brings up a good point, Vanderbilt recruits the entire nation. In fact some of their players are from California. For the most part it is true that California schools have lots of talent within a short distance. However, even UCLA is chuck full of showcase and Travel players, whether need to be or not. And they have recruited top players like Jason Heyward (GA) in the past. Stanford actually recruits several out of state players. Everybody wants the best possible players, no matter where they are from. Florida is in a crazy baseball state too, but two of their top recruits last year were from Iowa and Minnesota! I will say, whether necessary or not, we see an awful lot of Travel Teams from California every year. And on those teams you normally see the very best players and those that are drafted early. Maybe kids are just wanting to play against the best competition possible. I will say that there are a ton of talented baseball players in California and everyone knows it.
I also agree with MidAtlanticdad's thoughts. There is definitely a bad side to most everything including Travel baseball and Showcases, if one wants to dwell on the bad and disregard the good. Obviously some do want to do that. And some have good reason to feel the way they do.