Because of GADTs and casts we were getting binders whose
demand annotation was more deeply nested than made sense
for its type.

See Note [Trimming a demand to a type], in Demand.lhs,
which I reproduce here:

   Note [Trimming a demand to a type]
   ~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~
   Consider this:

     f :: a -> Bool
     f x = case ... of
             A g1 -> case (x |> g1) of (p,q) -> ...
             B    -> error "urk"

   where A,B are the constructors of a GADT.  We'll get a U(U,U) demand
   on x from the A branch, but that's a stupid demand for x itself, which
   has type 'a'. Indeed we get ASSERTs going off (notably in
   splitUseProdDmd, Trac #8569).

   Bottom line: we really don't want to have a binder whose demand is more
   deeply-nested than its type.  There are various ways to tackle this.
   When processing (x |> g1), we could "trim" the incoming demand U(U,U)
   to match x's type.  But I'm currently doing so just at the moment when
   we pin a demand on a binder, in DmdAnal.findBndrDmd.