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To me $2.99 is a nice price for a novel, not greedy - at least if the proofreading is on par. With a second book in a series (and, again, if the editing/proofreading is good), if I liked the first one, I wouldn't mind 3.99 or 4.99, either.
For some reason my gut feeling says that the difference between 3.99 and 4.99 is bigger than between 2.99 and 3.99. Apparently my impulse buy threshold is closer to 4 than 5.
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