it illustrates the way the world of mainstream consumer electronics works. Anytime there is a change in technology, the initial products are always more expensive and inferior, performance-wise, to the same products manufactured 3-5 years later.
Some are simply due to a decline in manufacturing costs, or proliferation of a certain format over another (VHS vs Beta, HD DVD vs Blu Ray, etc) but on the performance side refinements and upgrades occur. Look at plasma tv. When they first came out, the best sets cost 8-15K, and now you are looking at half as much for a better set, because the new sets don't suffer burn in, and last longer, etc.
With camcorders yes, the move is in the direction you speak of, but it is still in its infancy compared to mini-dv tape. One is at the peak of its development, the other still being improved.
I never buy a new electronic format whenever it first comes out, because of the reasons cited above. I do the same with cars, I never would buy a new model in its first year. Let them work out the bugs, and wait for the fad to die off, then I'll buy.
Oh, and if I'm not mistaken, your HF100 should have been at least 3 times as much as that crappy DXG. Imagine how bad it's hard drive works versus your Canon. :-)