Earlier quoted context omitted.
Firefox's DOH client ignores /etc/hosts, but it shouldn't be too hard to host your own DOH server [1][2] that you could then configure how you see fit. I can see this pattern becoming widespread someday, and with DOH, people can re-use their experience in setting up webservers. [1] https://github.com/st3fan/tinydoh [2] https://github.com/m13253/dns-over-https
You think regular end users having to set up and maintain server software in order to force a name for an IP is going to become a widespread pattern? That's horrifying. I don't want to live in that world.
To put this another way: it's a significant benefit for my random non-techie friends to be able to use this new feature plus HTTPSEverywhere. And even as a techie, I don't use a hosts file to block anything. So I'm not bothered by how Firefox chose to implement this, like most people.