Well, I think it's all in the execution. A person could have the most detailed backstory imaginable, but if they weave it in a way that leaves zero room for character development or interaction, then it will fall flat. Part of RP is having the world and interactions shape your character. At least to me. But on the flip side, a person who again weaves a long, detailed backstory and manages to leave the character room to continue growing and changing.. So yeah, I think it just comes down to the execution and what the person writing the character feels most comfortable with and able to pull off the best.
As for myself, I tend to go for a minimalist approach to character backgrounds -- Leaving enough that there is a solid path that leads to where I begin playing the character in live RP, but I try to avoid great conclusions in backstory. I prefer to play my characters at the beginning or in the middle of the big events that will shape who they become, and let the rest of the world decide who he/she turns into.
As for myself, I tend to go for a minimalist approach to character backgrounds -- Leaving enough that there is a solid path that leads to where I begin playing the character in live RP, but I try to avoid great conclusions in backstory. I prefer to play my characters at the beginning or in the middle of the big events that will shape who they become, and let the rest of the world decide who he/she turns into.