It's the same problem as land. We have more and more people that need it, yet the supply is by definition finite. Hoarding it for yourself not only contributes nothing to the community, it actively prevents others from doing so.

Yup. Still waiting to hear a more nuanced explanation of the supposed “problem” than this.

And either way, even a bad countermeasure would be better than nothing, as it would show that squatting is not longer tolerated. It would set a precedent for stricter regulation later on, because as it stands right now, ICANN is actively ignoring the problem and happily collecting their 14¢ fees.

As for a better solution, first ban all advertisement of peer-to-peer sales of domain names (so only registrars may offer a domain for sale). That should improve the situation significantly.