From what I'm seeing from authors who are struggling with developments in the market, it may not be a complete solution. There is no question that transactional licensing, particularly in the book publishing area, has made strides over the last decade or so. It doesn't seem to be capturing the full value of all the works that are in use, though. It's something that, arguably, needs to exist alongside a collective licensing model that can pick up the residue.
In other areas of licensing, market-based solutions haven't been effective yet at all—for example, in music, where the entire viability of an author's or an artist's career depends on the ability to collect millions and millions of micro-payments, fractions of pennies.