While I'm sure there are some diminishing returns, generally speaking, the faster the blade turns, the better it can cut most grasses and produce a good, clean cut.
The speed of the TIP of the blade (in feet per second, or MPH, etc.) is regulated by the Federal Government's Consumer Product Safety Commission. Standards, as I recall, vary a bit from walk-behinds to belt-driven riding equipment. The bottom line is, most mowers are designed so when the engine is at full throttle, the blade tips speed is at or below the maximum allowed by law.
FYI, in Europe, blades are often odd-shaped, with large "ears" at the tips to reduce noise. They too, have tip-speed regulations, but also noise levels that must not be exceeded.
Caveat: I work for Honda, but the preceding was my opinion alone.