When I was a kid Little League was youth baseball and participation was huge but shrunk to almost nothing at 13 with the transition to the standard size field. Select ball with the gradual transition in field size changed that a bit, but I think the biggest culling is now the start of HS baseball and the reality that brings.
I generally agree with what Adbono says above, but I think the root cause is lack of parental objectivity in combination with unrealistic expectations of the athlete and a portion of a youth baseball industry that relies on that misalignment.
I still don’t think you can blame youth baseball organizations and the pay for play market. I also don’t think there’s anything wrong with a parent paying for an activity that both they and their kids enjoy. If parents or paid coaches are inflating their athletes’ egos, I think that’s the same as it every was, until reality hits (wherever along the line that happens).
I believe that @adbono wants to return to the time where youth coaches could tell a player directly that they don’t project to play HS or college baseball either through capability or character. My son’s incoming HS freshman summer team coach (appointed by the HS HC, but not a school employee) tried something like that in 2010. After a week with the kids, he split them into two groups (parents watching from the stands) and told one group, that unless something substantially changed in their ability or performance, they had no chance of playing HS varsity baseball. There was a new coach the next day, and four years later not one kid in that group saw a varsity game from the field.
As for college, I think juco weeds out the non-grinders from the heard quick. I think that’s likely true for most serious college programs. Some at the college and pro level reach reality with their projection, effort required and future return and then choose a different route. There may be less pragmatism and objectivity in today’s athletes due to the factors already mentioned, but I think this has always been true. I just think that very few ever play baseball into their twenties.
IMO, nobody deserves to be a high-level competitive athlete (HS, college or pro). You earn the results of the physical/mental work, diet and life choices, but that’s it… Everyone is blessed or challenged with genetic ability/capability (your ceiling), varied environments, varied opportunities and old-fashioned luck.