While your explanation makes sense, it still doesn't explain why that keeps people raiding. You get better gear because it helps you down the boss. People get a sense of progression shown as the more gear they get the easier the bosses go down, then they move on to a harder version. However, that doesn't matter when the bosses you're killing are dying too fast anyway.
My point is still valid. People get this false sense of progression that has no meaning in the end, but they still want it. LFR is designed for people who do not want to progress to higher raid difficulties as time passes, for whatever reasons they might have. Is that not a tourist mode?