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Yep. They increase the "real" prices so the discounts look like more.
Also, a lot of companies (especially those in Chapter 7) hire liquidation specialists -- that is, outside companies who go around selling off merchandise from ex-stores, like Circuit City. Those companies bring in all kinds of crap from other stores that didn't sell the last time, and sometimes even stuff specifically made for the purpose, kind of a slightly higher quality equivalent of the things you find in dollar stores, to sell to the hordes of eager buyers. Which of these they're allowed to do varies by state.
Border's may not do this, as they're keeping 2/3 of their stores open for the moment, but it's something to keep an eye out for. Like anything else, know the prices, know what you're looking for, and don't get suckered into buying something ... "oooh, this turnip twaddler is half price!" ... you neither need nor want, especially not for more than you could buy it for elsewhere, just because you got dazzled by the big "EVERYTHING MUST GO" sign over the front door.
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