So throughout the 80s, PC stuff was wicked expensive compared to buying an amiga. This persisted well into the 90s.
On paper, this should not have been the case. THe amiga was a small niche, ala apple, without multiple vendors competing against each other. By all rights, things should have been reversed.
On top of that, especially mid 80's, PC equipment was pretty meek in its capabilities.
I know amiga upgrades were pricey, but is there something I am missing, or was PC owners just being robbed?
Basically yes, they were getting robbed since you had Intel dominating over sucky Cyrix CPUs. Once Intel had real competition from AMD and the GPU market went into aggressive competition with the upstart nVidia kicking some butt, the costs of computers dropped as the market exploded in size. Even more so now that ARM is making a dent in the CPU market that was once dominated by Intel.