So many real estate agents never even use their license. Or, if they do, it's not for long before they give up. That's because real estate has always been a tough business. But then, getting customers in ANY business has always been the trick--that's why they invented advertising.
So if your question is, 'are there too many ACTIVE agents', then I'd have to say that depends on whether you're referring to buyers' agents or listing agents. Personally, I think there may be too many buyers' agents, although I don't have any data to back that up. On the sellers' side it's a little less clear. Few would argue that the significant increases in inventory over the past 2 years haven't created a need to listing agents.
Personally, I don't think there will ever be too few GOOD agents.