Argument: The Moon's orbital distance from Earth increases at a rate of 2" per year which over billions would put it the pacific when it was created.
Counter argument: Moon formed 4.5 billion years ago, assuming a constant 2" distance increase that would be 9 billion inches outward since its creation. Which turns out to be 142,045 miles over the course of 4.5 billion years.
The Moon's orbit is currently 241,839 miles from Earth which would put it approx. 100,000 miles from Earth at formation (If the 2" per year figure is correct and has been constant)
However, in reality, the 2" per year figure is more like 1.49" per year. And no way has the rate of change been constant for the last 4.5 billion years.
When the Earth Moon system formed 4.5 billion years ago, the Earth was rotating such that a day was 6 hours long. The tidal effects of the Earth Moon system has slowed the Earth's rotation (increasing the length of a day) and transferred that energy to the Moon's orbit. Now think of 1000 ft high ocean tides racing ahead of and pulling at the Moon as the Earth's rotation was so much faster than the Moon's orbit. Today's rotation gives us a 24 hour day–and all that energy from rotational braking has been transferred to the Moon
While the Moon could not have formed closer than the Roche limit (11,000+ miles) current best estimates are it formed at 22,000 miles from Earth. And the original rate of yearly increase in the Moon's orbit was significantly higher than today's 1.49" per year – which it has gradually slowed to over the last 4.5 billion years.