yes, even if he legitimately paid for the seat- part of being bumped is you are compensated, including being rebooked on the next flight. Fundamentally, SOMEONE is going to have to stay behind despite paying for a ticket on that flight.
as for it exacerbating the problem: airlines don't usually overbook all of their flights- they overbook the most popular ones (as in, they might overbook the 9AM flight, but not the 10AM one)- however, yes, this can happen. However, i'm 99% sure that if you're bumped, you're guaranteed to be on the next flight, so there's a limit to how much any one person is delayed. Plus, eventually, either the airline'll send a larger plane (for the bigger airlines) so that they are no longer overbooked, or they find an airline that does have spare seats
as for it exacerbating the problem: airlines don't usually overbook all of their flights- they overbook the most popular ones (as in, they might overbook the 9AM flight, but not the 10AM one)- however, yes, this can happen. However, i'm 99% sure that if you're bumped, you're guaranteed to be on the next flight, so there's a limit to how much any one person is delayed. Plus, eventually, either the airline'll send a larger plane (for the bigger airlines) so that they are no longer overbooked, or they find an airline that does have spare seats
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