Apparently it took only a trace of the gas to "saturate" the absorption — that is, in the bands of the spectrum where CO2 blocked radiation, it did it so thoroughly that more gas could make little difference.(7*)    

Still more persuasive was the fact that water vapor, which is far more abundant in the air than carbon dioxide, also intercepts infrared radiation. In the crude spectrographs of the time, the smeared-out bands of the two gases entirely overlapped one another. More CO2 could not affect radiation in bands of the spectrum that water vapor, as well as CO2 itself, were already blocking entirely.(8)

The greenhouse effect will in fact operate even if the absorption of radiation were totally saturated in the lower atmosphere. The planet's temperature is regulated by the thin upper layers where radiation does escape easily into space. Adding more greenhouse gas there will change the balance. Moreover, even a 1% change in that delicate balance would make a serious difference in the planet’s surface temperature. The logic is rather simple once it is grasped, but it takes a new way of looking at the atmosphere — not as a single slab, like the gas in Koch's tube (or the glass over a greenhouse), but as a set of interacting layers. (The full explanation is in the essay on Simple Models, use link at right.)