I just discussed this with Kyle Harris, and I don't agree with him that it's "good" for the game. That being said, hopefully the reason for declining growth will be corrected, and the game can grow again.
Primarily, I think the problem is that the marginal cost for a round f golf has gotten too high for the average golfer, and the wealthy golfer, while not necessarily price sensitive, just lacks the time to play substantial hours.
Municipal courses, at least in NY and DC, are doing fine - the margins for this market are just too small given the overhead.
Architects, superintendents, and designers need to come together and figure out how to build golf courses with low overhead, so that margins don't need to rise.
There are other "means" problems - architects keep building courses based on the most modern equipment, but the average golfer can't spend $2,000 a year on equipment - but lets start with this challenge: let's build a muni-model that is both financially viable and keeps the game interesting. Do that, and you'll grow the game.