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There's a difference between people knowing it's fake and the companies themselves going out of their way to show that it is. Over the last few years the more they have done so the more business has gone down. It's pretty much one of the main reasons WCW died at the end.
And the point about CSI was that at no point are they ever trying to convince people watching to outlay money on something they have built up towards. If they did that there would be PPVs for season finales. Wrestling also does not have downtime like TV shows, they work all year round.
I'm not saying kayfabe is the saving grace of wrestling or anything but giving the younger guys a grounding can't hurt.
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