People keep discussing this topic in really myopic ways. Too much loot! Not enough loot! Etc, etc. The reality is that loot is kind of a mess in this game, but it's not really an issue of too much or too little loot. Primarily, it's an issue of relative drop frequency. A distant second problem is there are too many ancillary item types with minor effects - I.e. excessive quantity over quality. This makes the process of gearing in particular less interesting than it could be.
The main thing I observe is that the gap in drop rates between slot 1-5 gear and other types of gear is way, way too high. Anytime you're getting a "normal" amount of slot 1-5 gear, you aren't getting nearly enough of other things. Anytime you're getting a reasonable drop rate on other things (like during this anniversary event), you're getting an almost laughably absurd drop rate of slot 1-5 gear, to the point that it makes the whole process of gearing and inventory management ludicrous. When everything below unique is garbage 100% of the time, there's a problem.