Whatthefreak seriously??^ I imagine the majority of us grew up watching TV before school, after school, films on all day if at home on a Saturday, and are we a generation of damaged underachievers?! No, thought not.^
Television in our house was on at specific kids tv slots (30 minutes a day?). Never, ever in the morning. Never just as general background noise. The rest of the day was filled with reading, playing with toys, instrument practice, crafts, cooking, baking, outdoor playing, cycling, doing chores etc.
When I moved to this country I was shocked to see that some people don't even turn the TV off when guests come to their house. Guests are just expected to tolerate crap daytime tv noise, and never get the full attention of the hosts. Awful.
I see limiting screen time as a very useful tool to get children into meaningful, nourishing and stimulating activities. Having the TV on all the time invites kids to pretty much shut down interaction with siblings and friends because it's much easier to just sit and watch.
I honestly cannot think of a single reason why having lots of tv time would be good for a child's development. (Similar arguments hold for iPads, video games etc, in my view.)