No, I would not have been fine with that, because I expected Harbaugh to be a world-class coach with the existing group (and in many ways he was), and a world-class recruiter (which he has not been). I believed that Michigan was poised to be an elite program. What I absolutely failed to comprehend about college football until the last few years (I thank G2 and others for pointing this out) is how difficult or nearly impossible it is to build an elite program that's not in the south. Top 10? Demonstrably true. However, championship-level?....OSU seems to have sucked up the top-level recruits north of the M/D line for the time being.
Does that mean that Michigan can't overtake OSU in the future? It does not mean that; with Meyer gone, it's possible that a power-shift opportunity is present. OTOH, it's **possible** (I see it suggested often but I have no way to verify independently) that structural differences in organizational culture between U/M and OSU might make overtaking them in recruiting extremely difficult (academic standards, willingness to bend the rules, etc.).
Life is a constant negotiation between expectations/hope and reality. I believe I know more about the situation today than I did back then. I also know that Harbaugh is not a football god who can overtake an elite competitor with a snap of the fingers, especially **if** there are structural issues in the way as some have suggested. It's also possible that Harbaugh will be able to figure out how to out-recruit Ryan's crew now that Meyer is gone and things will have shifted towards U/M over the next few years.
It also bears note, though you seem to dismiss this, that U/M is in far better competitive shape than it was when JH took over. They are not an elite top 5 team (yet), but they are a solid Top 10-15 team every year, winning double-digit games, and have eaten MSU's lunch from an organizational standpoint.
I would love to compete with the best of the best, but for all of my childhood the Bo teams never really competed for a National Title, and I was perfectly happy (other than 1984 which was a stinker).
Yes, the Bo teams beat OSU more often than not, but that OSU program was not anything even remotely close to the juggernaut they have been for the last 20 years....this year sporting three Heisman level stars at QB, RB and DT, and a long list of very good players.
Firing Harbaugh would be the wrong move IMO.