Why so expensive??

I think you are talking two different ideas. First, you reference costs. Well, as one other poster said above, most high-end manufacturers are small entities. So the cost of R&D and production, marketing, quality control, etc are spread over a relatively small volume, making the cost per unit high. Second, as another put it, the price is not always closely tied to the cost but to what people are willing to pay for it, i.e. what the market will bear. It does seem that in some instances, the higher the price the greater the demand. I seem to remember a show on TV, maybe 60 minutes, where an alcoholic beverage manufacturer found that the higher he raised the price, the higher the demand became--this could be called snob appeal. The value is in the eye of the beholder.

Then how much should it cost? If YOU can produce an amplifier identical to the $380,000 Dynaudio Arbiter for less than one percent of the price, let us know. We'll buy all you can make.

"People that take risks are rewarded - those who do not, covet." (Me)

Dr. Floyd Toole at Harman is fond of pointing to graphs in his presentations that in double-blind testing, the majority of listeners identify speakers in the ~$1500/pair range as "sounding best" and that speakers that cost ~$20K fare as poorly in testing as <$300 speakers.

Granted, I recognize the commercial interest behind his assertions, but it's a point worth considering.

Ultimately, this hobby is a harmless pastime. I don't imagine anyone here is failing to feed and clothe their kids in pursuit of a better stereo, so more power to them if they want to spend their disposable cash on snoochy hifi gear.

Regarding Jwales' comment about relative worth, that's reminiscent of what George Carlin said about drivers.

All these responces and still no FREE audio!!What gives, I thought some rich guy/girl would take me serious or feal sorry for me and give me some wavevac amps.Guys relax on the subject i dont give a hoot what you spend on gear as long as it makes you happy.I love upgrading just as much as the next guy.I tend to spend way more then i should but there comes a point where i just stop. I'm just looking at the whole picture and wondering.When you get to some point in this hobby it's a diminish and return type of deal.For the guy who spends $350,000 for amps is he just doing it because he can or is he into the MUSIC..Isn't that what it's all about...Music

I've had 2 mfgr's say they charge outrageous prices because people will pay it. One said he was charging double what he considered a fair price. If he sold for 1/2 his current price people would not take his product seriously.
Why sell 100 of something when you can make just as much money by selling 50? It's not that big a market to begin with and you may not find 100 buyers anyhow.