Actually, only a small percentage of app developers break even on their apps in the App Store. Those that sell at the 99 cent point need to sell millions to make good profits. There have been several exploratory articles on the App Store and profits. Remember, even though Apple shows billions being paid to developers, there are a whole lot of developers; and a fairly small percentage of them get the bulk of that money.
The fact that the Google Play apps are cheaper probably means that even a higher percentage of developers loose money on their apps. There have also been several articles comparing the two stores that tend to bear this out.
Hold in mind that before the mobile app market started the race to the bottom, the cheapest programs you could buy for a computer were in the 5 to 10 dollar range, and they were mostly junk.
Prices are slowly creeping back up in the App Store, as developers figure out that they simply can't survive on 99 cent apps, not unless they get lucky and have one of the few top ten apps in the store. They are also trying all kinds of in app purchase models, and stirring up lots of controversy along the way.
At any rate, as buyers we've gotten a bit spoiled. With prices ridiculously cheap or even free, we've gotten into the habit of just buying stuff, then deciding if we wanted it, or if it is any good. It is simply time we reverted back to smart shopping, doing our research, and considering whether we really want/need that particular app at that price.
From the capitalist's (and developer's) point of view, if you pay for an app, then the app was worth the price. As long as we are not talking about life essentials, that's a reasonably fair approach.
