Strict regulation of ads is one thing, outlawing advertising is another. There are places that don't allow billboards and other street-level advertisement, but that's a long way from outlawing advertisements in general.
I get that it's a nice idea to many, but I follow a general rule of adding extra skepticism if the problems of some approach are absolutely obvious and the response to pointing them out is "don't worry about, that'll sort itself out, let's just do it". Especially when the collateral damage might be huge and the energy feels like "this will save us".