One of the core aspects of the business of design Scott, is to not talk down to potential clients. Always talk in plain English and always keep open as to what you can and can't do for them.

I don't know if your first post is a joke, but you acted like an arrogant little brat. Even if you are trying to justify your pricing you have to remember that all pricing is relative to each individual client. Even I have given massive discounts, and even done sites for free to get my link at the bottom of high profile sites. I became the "go to" person for all who visit those sites and are thinking of getting designs made themselves. The referrals alone, from doing low budget/free sites, have more than paid for doing the cheap/free work.

Be careful of who you burn Scott, I know you are trying to stick to your pricing, and trying to justify it, but be careful.