Yes it's been done. No it does not work. Signal degradation and timing
are the issues. Ethernet is entirely dependant on good signal strength
and timing; if the signal loses strength and packets can't traverse the
length of cable in a timely manner you will get collisions and lost
packets, i.e it does not work. Buy a $20 hub.
Read this about CSMA/CD (Carrier Sense Mutliple Access/Collision Detection):
http://www.cisco.com/univercd/cc/td/doc/cisintwk/ito_doc/ethernet.htm#xtocid10
Keep in mind that "Each must stop transmitting as soon as it has
detected the collision and then must wait a quasirandom length of time
(determined by a back-off algorithm) before attempting to retransmit the
frame" is based upon the physical limitations imposed by the time it
takes for a packet to travel the length of cable. Exceed that maximum
cable length and the timing is shot.
Steve