Fair enough, I guess. Its hyperbole in the sense that you were using this statement to exaggerate the points made by others. No one here ever said everyone wants a small phone, but you went and used that as some sort of point against those you're arguing with anyway. More properly this would be a straw man fallacy, could call it a ridicule.
The Xr isn't the flag ship. The Xr is really closer what maybe could be called a Xr Plus, given its size relative to the 7/8 Plus. What I'm looking for is an Xr that is the size of the standard 7/8 at the largest. If they are charging $750 for the Xr "plus", ~$600 for that smaller Xr would be fairly consistent with Apple's price segmentations.
Right, this is their concern, IMO. They aren't going to make a smaller, slightly cheaper Xr style phone because they want to try to push you into the $1000 phone. As a consumer, that rubs me the wrong way. I'm not going to spend more because someone doesn't make what I want. Now, there might be hope here though. Apple has a tendency to work down the latter over time, so maybe even by spring, once they feel they have cashed in on the higher margin phones, we'll see a smaller phone.