Apparently Etsytreasuryteam’s advice on how to tag conflicts with Etsy’s rules as discussed here:
http://www.etsy.com/forums_thread.php?thread_id=6086390
Here’s another seller who has taken the advice to heart about multiple word tagging:
http://www.etsy.com/view_listing.php?listing_id=13619707
http://www.etsy.com/view_listing.php?listing_id=17964632
http://www.etsy.com/view_listing.php?listing_id=18523338
I’ve flagged a few times, no changes.
Callin' Out On Etsy 
They also state you must speak English and have FP worthy photos to be in their team–they jury your shop. I am quite certain their team requirements violate Etsy’s TOU.
So they advocate breaking the rules, and the group itself violates the TOU yet according to that thread, an email that ETSY sent out called “Tag Your Way to Success” suggested that people refer to that Etsytreasuryteam page “next time your [sic] stumped for tags”, and gave a link to it. Typical of Admin not to review and ensure that rules are followed before featuring someone.
I do like how pointed that thread was – and they actually got an Admin to come in and say that multiple word tagging was wrong except for phrases. Although they did avoid answering the rest of the questions.
Multiple word tags don’t bother me. Etsy is so wishy washy with their rules about tagging and is so vague when they contact you about your tags that as long as a seller tags under the correct categories that’s good enough for me. If using multiple word tags in one line is against the rules, then etsy needs to format the tags so that it gives you an error when you try to do it. I think there are bigger issues with tagging that need to be addressed than this. (guilty of multiple word tagging myself)
But the problem is that with multiple word tags, they are often completely unrelated to the item being sold. Frankly, if people keep all the tags RELEVANT, I would not give a crap about how many they squeeze in there. Although that screws the people who actually follow the rules and only use 14 single words (or proper phrases) as tags.
Etsy did not used to allow multiple word tags at all, every word had to be separated by a comma (before there were tag boxes). They changed it to allow phrases but it has just been abused ever since.