I personally rely on the fact that google find previous search results on my site. If you imagine a search enginehas very little content, so if you were searching for a keyword of "car" for example you wouldnt find the site that could give you these results because the page does not exist until someone searches for it.
What a lot of sites do is cache the results and make that page spiderable to people like google etc. These pages because they contain only results for "cars" are very keyword rich and as such would normally outrank good seo sites about cars because the content is deemed relevant.
As for the question, should they be allowed etc, its just a method of marketing, you could ask the same question about leaflet dropping, direct mail or telecanvassing, its just a method of attracting traffic to your site.
This is only my opinion but its worth considering, i believe that a page on my site for "candle" for example, is much more relevant to a user than a simple affiliate page recommending one or two merchants for candles, as the user can see all candles from a lot of merchants without bias. There is a lot of them and more than i have seen on any affiliate site.
Of course there is arguments for an against and personally i hate getting either affiliate or search engine results when i search for something. But i also need to make money like the rest of the world. ;-P
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