Cal, I'll give a stab at what Bruce and Jim are saying.
If you put a pressure gauge at the regulator outlet, you will be measuring the pressure drop in the return line. If you had a lot of flow and a small return line, maybe you'll see 20 psi there, if it took 20 psi to push that amount of fuel to the tank.
So measuring the pressure at the regulator outlet would be indicating how much flow you have going back to the tank. More flow = higher pressure.
In Jim's example, at idle there should have been the maximum flow back to the tank and therefore the highest possible pressure at the regulator outlet. Since there was no flow period, obviously the pump wasn't doing a whole lot and needed replacement.
As you give more throttle and use more fuel, the pressure at the regulator outlet should drop as the return flow decreases. At WOT it should go to a minimum, but still positive pressure. If the pressure went to zero then that would indicate that there was zero return flow, and the engine was using every bit of fuel the pump could put out.
I think that measuring the rail pressure is still a better way of checking things though. We know what the pressure at the rail is supposed to be, and if it is off by 5 psi then we know something is wrong.
At the regulator outlet we can only see if there is pressure or not, and the pressure that is there depends on multiple factors, such as fuel pump size, return line size, etc and will change if any of those items changes. There isn't a spec that we can check against to see if it's good or bad (unless it's zero, then it is definitely bad).
I would think that if Jim had checked his rail pressure with a load on the engine that he would have seen the pressure drop below the 11-15 psi spec and would have therefore known that the pump wasn't keeping up? Similar to driving around with a fuel pressure gauge taped to the windshield to see if a pump is keeping up at WOT when it might be okay at idle and part throttle.
John