Consumers have basically already decided. How many people use incognito windows to get around the NYT paywall, for example?
Considering the fact that I'm generally not too interested in mainstream news, and somewhat frugal, I imagine there's quite a number of people who spend even more.
The problem is that news is very expensive to produce; particularly investigative journalism that might or might not pay off. Local news at the town or suburb level has a similar issue, where the market is quite small to begin with. Strip away the expensive parts and you're left with cheapo aggregator papers. But what happens when there's nothing left to aggregate?