If they found out they were just given the illusion of saving money vs. actually saving money who would choose the illusion? I sure as hell wouldn't it seems totally illogical.

It’s fine for you to think that, but it means you’re just arguing with yourself, because most everyone agrees it is a fair expectation of sellers, and that when seller behavior deviates from this social norm, it is proper to view that as a manipulative or normatively condemnable seller behavior.

Sellers can’t have it both ways. You can’t act like your prices are lower by hyping them in a discount, but really be coyly saying you have no obligation to provide competitive prices and the discount reference point is purely fictional. That’s disingenuous and such a seller knows full well they are banking on tricking or manipulating people.