James, there’s suck. Then there’s REALLY suck. So yes, there are times when suck ain’t the worst choice. I’m not immune to this and wrote a counter-argument to my OP in another Business of Screenwriting post: Sometimes you have to say yes.
There’s a lot to be said for that approach, too. As I note in the article, especially when you’re first starting out, you can always look at writing gigs as educational as well as monetary opportunities.
I guess the bottom line point is we have to be willing to say no and yes, and in either case, give our soul a pulse check.