There is an old saying, "you get what you pay for". Of course, every adult knows that it is false, as they have been cheated before, and they have gotten good deals before. But even though they know it is false from their own experience, many people believe it anyway. Yes, that is extremely stupid, but it is so common that I am not so sure that the word "freakishly" is right in connection with this.
If extreme stupidity were rare, there would be no significant market for magic wires and other voodoo nonsense in audio, and we all know that there is plenty of nonsense in the audio business. I am sure some idiot will, instead of upgrading their speakers, spend the same amount (or more) on magic wires to use with their current setup.