It's not a stupid argument its a very valid one, because in fact, alot of people have to pick their console based on the price, if everyone had $400 to spend I'm pretty sure a few would choose a 360 over a Wii. And you also have to look through a parents eyes, when they look at the consoles the price is a MAJOR factor, face it, what parent wants to spend $400 on something for their kid when they can spend $250?
Ask yourself, if the Wii was $399, and the PS3 $249, which do you think people would choose?
Again, price is a MAJOR factor, especially now in America. So you can try to deny it and look dumb, or you can accept it, because it is true. Ask any analyst, they will list the price at, or near the top of the list for reasons people choose Wii. Just accept it.