Well look at it this way. If you could buy a Ferrari for 60 grand, or you could get the same car for 20 grand but you will have to travel a little further to pick it up, which would you choose?
I'll explain using a processor for example.
When components are made they are made in one batch then clocked down/rebadged accordingly. Take the AMD 2500+ with the Barton core. This is actually a 3200+ just relabled and set to run as a 2500+. The reason companies do this is due to the fact that it costs no more to produce a 3200+ processor than it does a 2500+ processor so they just mass produce the 3200+.
At that time the market was strong for the 2500+ so they just underclocked them and sold them as a 2500+ to meet customer demand. Now the demand is for a higher processor AMD are selling them as the normal 3200+ but those lucky enough to get them at the very cheap price of a 2500+ can easily overclock it to meet the speed of the 3200+. Only last month you could still buy these 2500+ processors at about ?50 compared to around ?150 for the 3200+.
So you can buy a cheap PC setup and boost it up to meet demand for the now power hungry games such as Unreal Tournamant 2004 and FarCry at no extra cost.
The same applies to graphics cards. You can buy a cheap Geforce fx5900xt for about ?130 and just up the memory timings and you almost have a monster Geforce 5950ultra that would cost you almost ?300.
I hope u got the jist of all that

Cheaper components dont always mean less performance.
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