I think the argument is that there won't be a reason to read the code. If you want a change, just let the agent change it.
Similar to the output of a compiler. Nobody (with very few exceptions) reviews its machine code output. No reason to do that. If you want to change it, just recompile.
(I don't share this view, but I think a substantial and growing fraction of folks does.)
Yes, I think you're right. It could be I haven't experienced the cutting edge of AI, but it a) doesn't seem there yet, and b) goes off on tangents assuming outcomes of decisions and needing to rewrite things a lot. So I quite like reading the output.