How many 21/22 yr olds are going to sit on the bench for 75% of the seasonI disagree a little. Frankly I think we should be buying players who can move the needle on our league position, but I have no problem promoting the youth into squad roles. I don't see the point of having expensive imports sitting around for 2/3 of the year in case you need them, and probably not happy to be in that situation. Whereas the local lads, Blues, would bite your hand off for the chance to be part of the first team setup and play part of the time while they continue to learn their craft. Every pound you don't spend on a homegrown player, either through transfer fee or wages, is a pound you can spend on a world class player if you can get them.
You also maintain a Scouse backbone to the club, in the locker room, and connection with the fans. And if you get lucky, one or two of them are good enough to be one of the first 11 on the team sheet.
If they have the ambition and drive surely they will be prepared to move , even drop down a division to get regular game time and improve enough to get back into the PL