No it isn't. It is there to prevent you overdriving the audio amplifiers. Audio limiters were put in CBs because the manufacturers recognised that idiots would put power mics on them and ramp everything up to 11. When you overdrive the audio amps and other transistors in the chain you end up with harmonics, the audio limiter is put in to prevent that and therefore reduce the harmonics. You personally may not notice any difference but you can bet someone listening at multiples of the frequency you're on will. I bet if you actually put that radio when modded on a spectrum analyser you would be quite surprised at what you saw. Suffice to say that there's probably aircraft on the VHF air band who could hear your crud.
Here's what your signal should look like with a 3kHz tone:
And here's what crap a radio with the limiter removed and being overdriven looks like:
That is the same radio being overdriven with nothing else changed.
NOTE HOW THE CARRIER OUTPUT DOES NOT CHANGE. YOU DO NOT GET A STRONGER SIGNAL.
But as I said, it won't just stop there. It'll be repeated many times throughout the spectrum at various multiples of your TX frequency.
Its also one of the reasons the 4W limit was introduced. The FCC and various authorities worldwide recognised idiots would bolt all kinds of crap on causing all kinds of spurious transmissions all over the spectrum and the 4W limit reduced the impact of this.
And the crappy audio on CB of the type you describe is not down to the wrong microphones. In every single case it is down to the audio input being too high somewhere along the chain.
Read and learn.
http://www.worldwidedx.com/threads/am-modulation-visited-via-spectrum-analyzer.22881/
Personally I find clear audio with plenty of articulation far more useful than loud modulation when talking to someone far away.
I recall an Italian station who was 40 over to me trying to get hold of a JA station. He had the loud booming audio you like and couldn't get through. Even I couldn't work out what his call was. I managed it first call with probably a 100th of the ERP he had because I had properly set up TX audio so the JA could actually understand.
Contrary to what you believe, the audio type you prefer actually makes understanding you
HARDER by stations far away than having it set up to the proper and lower levels.