I was in Goa about 20 years ago. I'd be interested (and probably horribly saddened) to see what it has become now. Back then Anjuna(?) was the party destination, full of raves and Brits/Aussies. But the rest of it was really quiet and cruisey. The phenomenon is probably no different to any hotspot, I guess. Byron Bay in Australia is like that. Was so cruisey and laid back 25 years ago, but now is a tourist mecca. And despite living only 30 minutes up the road from Byron, I haven't been there for years. The quest for money has ruined the place..
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As you say, a tourist spot becoming more touristy is the march of time. That is understandable and expected.
In this case it is a bit more of a clash of cultures between the hosts who depend on the income generated from the guests.
Essentially the Goans want to 'friendzone' most of their visitors! In this case, "I like your money but not your style!"
Hahaha :)