Well, I (being my usual pragmatic self) have two answers. I think $19.95 is a fair price for a new non-core game. Core games obviously require far more development so can and should get a higher price, but as somebody said above that limits the number of people who will buy them.

Answer 2, After a game has been out awhile and recouped the intial investment and a decent profit, then the price should be cut. This is how I got started on VV, I was walking through Walmart and found VV1 for $10. I picked it up (a spontaneous buy) and have been hooked on LDW ever since. Now that I knew the quality and fun of the games, I had no hesitation about paying full price for VV2, nor will I hesitate to pay full price for VV3. Discounting games after they've been out awhile is a great way to draw new customers. It's what has started me on some of the core games for which I later paid much more for new versions and or expansion packs.