"If I sat down with five people and we all capped every street with no rake, over the long run we'd all break even because the cards are evenly distributed amongst us."

Ofcourse.


"If we all break even, then the one guy who can find a fold will eventually become a big loser over the long haul."

Depends on when he finds the fold, he could be the big winner or loser. But since you preface this with 'we all break even", then he must break even as well.


"If I battle your for the blinds headsup, the pf advantages/disadvantages of my cards are irrelevant if we never show down. If you fold too much or if I fold too much, any advantages are proportionally shifted to the guy who bets too much."

It depends on how far one swings towards the 'folds too much side' or the 'bets too much side'. If I fold too much, but do so early, I will give up some small pots. If I bet too much and can't give up my losing hands until very late, then I can lose a lot.