Age groupers that should compete as novice or Elite

USA Cycling does or will automatically move you up.  They did it to me (CAT III to CAT II) and it suxed.  I won a few races as CAT III but not like I won a ton of them, mentally I was not ready.

I also don't agree even more bureaucracy is not what we need in the sport. 

One of the production companies in this area did away with the Elite category for this season - don't know if they'll reinstate it.

I am also a proponent of the Cat system instead of AG system. Simply because I would rather race against others based on my ability instead of AG.

There are a few reasons why those that are young, fast, and broke go pro quick. Free entry to races, homestays, and better sponsorship deals. In this industry most sponsorhips are in the form of highly discounted or 'pro pricing' on items. Which is normally at wholesale price or below. When you are already buying the same or similar products the discounts can add up over a year. The mojority of pros receive these types of deals. Outside of appearance fees, and money a free bike(s) is the holy grail of sponsorship.

So there are other benefits outside of just racing against 'better' competition.

I disagree with the idea for the very simple reason that you can't control who shows up.  I race the MBAA (mountain bike series) here in AZ.  Same as the Norba rules, you place in the Top 5 x times and you have to move up.  One of the girls I race with, I'm not sure there has been a race where more than 6 people showed up in her AG.  So it really isn't that difficult for her to place.  Now my husband has placed twice, but has 20 plus people in his AG sometimes.  Even I managed to get 5th at a race where there was only 6 people in my AG - and 1 was a DNF.  I am in no way, shape or form ready to be a sport rider.  Thankfully I will have probably saved myself from moving up next year just due to the people that will likely show up to the last 2 races. 

Last years result showed that most races had 5 or less people in my AG.  So do you get automatically screwed because you showed up to race and no one else did even though you may not be anywhere close to the caliber of racer it takes to be in the next category?

I do this in most of my local races and we often have a couple pros racing every race around here - including David Thompson (one of the best cyclists in the sport).  Not bragging, but if I race AG locally I usually either win or podium.  If there is an elite wave for registration I register elite every time.  I still place top 20 overall usually so I don't think its unreasonable for me to race in the elite wave.  I like races (like Spirit of Racine) that have an elite master division.  Being 48 years old, I don't pose any danger to someone's attempt to make a living out of tris if I race in the elite wave.

In fact, USAT actually "penalizes" me (functionally, not outright) for racing elite instead of AG because they won't allow points from a race in which I race elite to count to my seasonal point standings.  That's why my national and regional rankings at the end of the season are meaningless - some of my best races don't get included in the rankings.  I'm making the conscious decision to race elite and give up the points and live with.  I'd still rather race elite and go toe to toe with the local fast guys.  The only local race I register AG is the Apple Duathlon because its a World Duathlon Championship qualifier and I can't qualify for Team USA/Worlds if I race elite.

So, unless USAT changes their rule about not letting elite races count to your point standing there will be a lot of fast AG'ers who will continue to race AG because they essentially will be penalized if they don't.