I agree with you.....You know, I was one of those guys who thought you needed 300 yards of backing for everything and thus used larger reels all of the time. I got an eye opener last fall fishing for Fat Alberts. I hit the beach for 2 days with an Abel 3N with Gel Spun backing. About 200 yards and to tell you the truth, I was concerned that I did not have enough backing. So I cranked the drag down and went to a heavier flurocarbon tippet (20lb) and went at it. I was in Albie Heaven those 2days as I hooked over 20 fish from the beach. I did break off 2 fish (my fault as I was not paying attention when they hit) but did land almost all of the others. The biggest 11 to 12 lb took me until I could see the bottom of the gold spool and then came screaming back at me. What those days taught me is that as long as I am using the drag combined with the right tippet, 200 yards should be enough for anything (Not Tunas !!) that swims in New England. I am sure I will get some folks that think otherwise and would be open for feedback....
John (No longer the backing hog !)