It's not just the US. People here in London would happily spend four figures on their (ultralight aerodynamic) bike. My perspective: I used to be like you and

It's not just the US. People here in London would happily spend four figures on their (ultralight aerodynamic) bike. My perspective: I used to be like you and spend around $250. The bikes would break more easily (although maybe with an insurance/maintenance plan I would have been happier). Meanwhile, everyone else spends four figures a year on transportation (driving costs about £1000 a year, the tube costs the same). I figured if I would buy an expensive bike once it would justify the cost over many years. I bought a folding bike (a brompton) rather than a road bike - it cost around £900. They last for decades if treated right. So the cost, divided over the years of use, is negligible compared to other modes of transport.