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Free Agent Compensation: The System is Broken

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Glancing through ESPN's dubiously-updated Free Agent Tracker, the following Type A and Type B free agents are still unsigned:

OF Moises Alou (B), RP Joe Beimel (B), SP Paul Byrd (B), OF Luis Gonzalez (B), 2B Mark Grudzielanek (B), C Paul Lo Duca (B), C Ivan Rodriguez (B), SP Ben Sheets (A), DH Frank Thomas (B)

Also, the Cardinals just signed RP Dennys Reyes (B). Meanwhile, Byrd and Alou might be retiring.

If there's going to be a compensation system, shouldn't teams receive compensation when they lose desirable players? No one wants Paul Lo Duca. No one wants Luis Gonzalez. Pudge Rodriguez is basically using the WBC as a tryout for a club. And Frank Thomas is frustrated that he can't get a job. The number of players who can't get jobs on this list suggests that they shouldn't have been designated Type B in the first place.