I think the market is learning the hard way that the physical aspects of paper/hardback books are marginal, and that a century of booking publishing had already set a correct price for books, and that subtracting the couple of cents it costs to actually print the book are being absorbed in the margin... It's a tough transition for customers to recognize value in intangibles when there is absolutely no physical aspect to hang on to any more (I mean I know it was for me, and I have a vested interest in it! Imagine how hard it is for others who just want cheap because they'll never gain directly from higher prices for digital goods. At least I get to take comfort in knowing that as prices (or rather, willingness to pay) for digital goods will go up, so will (partly) my income...)