Should municipalities limit the number of dogs or cats a homeowner can have ?

Answer:
Even as a Libertarian, I can see the logic behind a reasonable limit to the number of housepets (other than fish, I guess) in a community, based on house size, licensed animal shelters excepted. However, when crafting such an ordinance, it should be done on a general ballot, not merely the town council, and it should grandfather in any and all existing pets.

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It's none of their g*d-d*mned business!!!!

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If they are a nuisance

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If you are able to take care of them you should be able to have as many as you want. The APL does.

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Dogs and cats can be regulated for purposes of safety, peace and order as avalid exercise of police power of the municipality. If the owners could no longer keep their pets inside their yards or homes, the extra pets must be sold or disposed to others.

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yes

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Yes, most definately. Owning too many dogs or cats in a small confined backyard can be cruel to the animals involved, they actually get stressed out with too many other pets. It can also be unhealthy and unhygenic to them; just think of all the poo!
And the noise levels can be disruptive to the other neighbours.