Everyone dont think in this Manner.
Because With Addition of Each and Every possible Stop( Except for those Majorly required like Surat and Vadodara), More Controversial and Heated Environment is Developed for Halts for Every train at their Doorstep. The Latest Example is Between Mumbai and Surat, Where People from Vapi, Valsad and Boisar, Are Fighting for more and more Halts for Certain trains, Just for Coming to a Level Step, Forcing WR to Add more and More Halts to Certain trains at Boisar and Valsad. People of Boisar had went till High Court, which is not even Imagined in Dream.
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Slowly More Stations like Palghar, Dahanu, Bhilad etc are Also Joining the Same practise.
Then Naturally trains will get Degraded.
Just tell me One thing:- In Mumbai Suburban Why Passengers travelling from Virar To Charuchgate prefer only a Fast VR CCG local than a Slow Local?

Sir, I again reiterate my point - if WR can add the halts and maintain the schedule, whats the problem? Is it an ego issue that a train halts at one station and not at the other?
And how to define 'degraded'? If a train maintains its schedule, it a good train. There is no guarantee that a train without stops will be fast. eg ASR/DDN-KCVL express has very few stops, but is not the fastest train in any of the sections it runs in.
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towns will always be there. These are encouraging, and will lead to more trains beings introduced in the sector, upgrading of tracks to support faster trains, etc, leading to even more development of the entire region.
Its the Railway Administration's headache how to deal with it, which stops to give and which not to. Whats the point arguing over it on IRI? If Rly Board feels that a station has sufficient commercial demand, it will grant a stop. It also takes away stops if the demand is not met during the experimental 6 month stage.
I still say the same thing - if Rlys can stick to the scheduled time table, it really shouldnt matter where all the train stops.
And to answer your last question, I think a suburban train is unreserved and can get really crowded during peak hours. This is a very different situation from a fully reserved (and in this case, fully AC) long distance train. So I dont think your comparison holds merit.