BS. People can talk all they want about quality controle, better wood, craftmanship etc... people that have 3000 dollar instruments do so because they can. It's more of a status symbol thing than an actual upgrade over a cheaper bass. Blindfolded...between a well setup Squier and MIA, most of us would not know the difference. At the end of the day the instruments setup, electronics and playability decide which bass is up there with the best. Not a 3000 dollar pricetag, a Fender decal or the fact that a bass is made in the US.
You are missing the big picture. It doesn't matter whether YOU can tell the difference. It only matters whether the target audience can tell the difference and judge that difference is worth the additional expense. If enough people see value there, then they will spend the money, and the product will succeed.
On the other hand, you have clearly already announced that you can't, so you would be stupid if you bought anything more than a "well setup Squier", wouldn't you? If enough people are like you and fail to see the value, then the product will fail to sell and will be off the market soon.
Over-priced instruments are a self-correcting problem. It's amazing how that works.
This "relative value" situation is no different from any other product out there. I really have no idea why were are debating this subject, honestly.
Wall Street/Bank debacle
Every Pyramid scheme ever
Almost every Multi-level Marketing scheme ever
Every "Patent Medicine" before they were outlawed
A painfully large portion of automotive mechanics before the laws requiring the return of replaced parts and adherence to written estimates
Almost every fad diet book
An embarrassingly large portion of the supplement industry's marketing since they got the law changed so that they don't have to prove any of their claims
Seriously? You're bringing up these examples, as though manufacturers of expensive bass guitars are somehow in the same ballpark, and humans who are stupid enough to believe in alternative medicine are the only reason companies like Fodera have any buyers?
The entire history of consumer products in the USA shows your statement to be untrue. Every consumer protection law and consumer fraud law exists only to stop people who where successfully fooling the public.
First of all, if you think that the "entire history of consumer products" in the USA boils down to fraud and consumer protection laws, then you are reading some really bad history. Second of all, if you think that consumer protection laws are in any way relevant to the current discussion of higher-priced bass guitars, then you have some serious issues with freedom of choice. Would you really support laws so the government stops those of us who are ignorant and buy basses which you don't think are worth it? I sure hope not.