The Mac mini was introduced as the "most affordable Mac ever" at $499 USD.
https://www.apple.com/newsroom/2005/01/11Apple-Introduces-Mac-mini/
Now the base price is $799 USD. It may be nearly twice the price, but has over 10x the power as the original.
However, here in Canadian pricing, the base price is $999, and that's too much for a "budget" Mac. It's clear that Apple is trying to build up their prowess in the "Premium Computer" niche, and leaving the budget computers for the competition.
I was really hoping Apple would be more aggressive with the pricing, but I guess they'd need to compromise on the specs at the same time. So they went with better specs.
Or, the lower spec'ed units didn't sell well at all. I had a Mac mini server, before they discontinued it (I missed that), instead of a Mac mini, I went with a MBP instead, that is indeed a great computer, but because of the low specs, I didn't go near the Mac mini again. The new ones, I jut might, but Macs last so long, it might be awhile before I need another one.
I do wonder about the low end. There is a theory that if you only need a low spec'ed device, go with an iPad. They really do everything you are probably doing anyway, and you save a lot, and have an easier experience.