You think so? I don't understand how page rank works and therefore can't respond to that statement... perhaps someone else can.
Nobody outside Google really knows the Pagerank algorithim.
However, if *I* was doing it, that's one of the things *I* might do to recognize and eliminate link farms. For every page on the net, count the links on it. Graph the numbers. Link farms are going to be on the high end. Penalize them for having too many links.
Blogs will also be on the high end. So if they use nofollow, we don't count nofollow links. This puts them back into the low end, thus preventing them from getting punished for the high number of links.
And frankly, I do disagree with most of the links posted above about why nofollow is bad. Blog noise was a real issue on Google. After nofollow was implemented, it became less of an issue. When I do a search and get a blog, it's usually because that blog has actual content, instead of a link to another blog which has a link to another blog and so on. I don't feel like visiting 5 blogs to get to the actual meat of the thing I'm looking for. Sorry if that upsets other bloggers, but hey, if they post actual content worth reading, then they're not the problem people that I'm talking about.
Content worth having will get you high search ranking. Thousands of worthless links to other people's content will not. That's the way it should be.