For all the people who are advocating reducing the MacBook price:
No, people aren't buying the MacBook Air for its price alone. There are number of issues that plague the MacBook that don't touch the Air. Here are eleven reasons people prefer the MacBook Air (11"):
1. Battery Life — The MacBook Air gets better battery life, especially if you're programming a lot on Xcode; coupled with the fact that the MacBook doesn't unambiguously shut off (there seems to be a low-power sleep mode that it likes staying in when charging, as well as turning on during charges), the MacBook Air more efficiently uses its battery and keeps its charge from day to day
2. Weight — The MacBook is heavier when you factor in all the dongles you have to carry for multiple port access (one port isn't enough for power supply + mouse + USB connector to device for programming). The MacBook Air 11" is much lighter weight, all supplies included.
3. Size - The 11" is far more portable. It has more ports, its screen is wide enough for side-by-side comparison without being tall enough to become a hindrance on airplane and train tray tables; the 12" screen is a hindrance because the taller footprint requires a more acute angle of screen bend to stay open, especially when the seat in front of yours reclines. The MacBook's extra screen size also makes it a poor fit for tray tables on airplanes and trains, while the 11" MacBook Air opens perfectly on those same tables, even if the seat in front of yours reclines. (Keep in mind people in Japan are on trains all the time, so being able to work from a traytable is a major win. In fact, all the Japanese people that I know on Apple laptops opt for the 11" for this very reason alone.)
4. Arrow Keys — The new keyboard's arrow keys are harder to move up-and-down quickly due to half-size, unresponsiveness. Tabbing up and down on the MacBook keyboard is a nightmare because it's easy to slip and hit the wrong arrow, which throws off line edits in prose and code. It also doesn't respond as crisply to fast arrow strokes up and down, since they occupy two halves of the same square "key."
5. Trackpad — The MacBook's trackpad has too many levels of depression, highlight & drag too error-prone, can get sticky and stuck in depressed state. Many people prefer the simpler one-click type in MacBook Airs. It has fewer levels of state and depression.
6. USB-C Only — no support for old-style USBs, non-Apple mice that many people use with receivers.
7. USB-C Power — The non-magnetic port is too difficult to connect, easy to pull laptop on a trip. I have to carry multiple MacBooks due to battery life constraints, and now have to carry two AC adapters (heavy bricks!), several USB converters, and Lightning cables to program on my devices. Weight increases about fourfold.
8. Blind Charging — no red/green light to differentiate full charge, like the MacBook Air's MagSafe 2 adapter. It's also hard to know if the MacBook stays off during charging. It makes a sound (that you can't mute), and sometimes when I open the lid despite having shut it down the night before, it's already turned on.
9. Charging Sound — Despite mute speakers, this beeps audibly & annoyingly on connection to power. Some people like students work in libraries or public transport and need to mute everything.
10. Keyboard — The MacBook keyboard sucks. It is loud & clicky, the keys are too close, unresponsive arrow-up, and is typo-prone if your fingers are flying fast and rely on key depression ("travel") for positive/negative feedback on correct keystrokes. The MacBook Air is the smallest, lightest machine with the old-style keyboard.
11. Power -- The MacBook, despite increasingly better chips, still cannot rival the Air for development tasks like building large Xcode projects and editing in Photoshop/Illustrator. Despite its age, the Air still has the better processor. I'm working on a fully upgraded 11" Air (2015), and it outperforms the fully-speced MacBook from 2016 on builds.