Yes, but why?
My own suspicion is that form has triumphed over function: as long as it looks like a paper, with lots of citations, it is accepted at face value. The citations are a substitute for originality, imposed by a pseudo-academic clique that is terrified to admit its own inadequacy.
Or have you another explanation? I say this not to be combative, but because I can't think of one.
Why do you assume it's only form to use that writing paradigm? It does not bother you with science papers, but it does with the humanities/social sciences.
As to the reasons why we cite, the first one is intellectual honesty: you give to Caesar what is his. The second is that most papers answer to a previous argument. The third is that there is no such thing as studying "just the text" in literature, even when you're making a rather plain New Critical reading. You need secondary sources to elucidate a point, you refer to someone else's expertise in biography, history, philosophy, languages, philology, etc.
Do you think historians should not cite their sources? Do you think sociologists have no philosophical underpinnings that their readers should be aware of? Is a literature scholar supposed to understand everything about a novel just by reading it?
These disciplines are full of bozos, just like any other, but there is nothing about them that entails they should not go through the processes of peer-reviewing, literature reviews, etc.
Hegel used to say about philosophy, and I think it applies to many disciplines in the humanities as well "No other art, no other science is exposed to such a degree of scorn that everyone believes they are skilled in it." Kind of like photography, eh?
Yes, I know about the Sokal story, and he did a great service to us all by exposing the phonies. However, it's easy to make a faulty generalization and consider that all humanities scholars are the same.
I'll be the first to rant against all the wankers I see in literature, but I will not discredit the discipline because of them.