And that is why cars like the Accord and Camry outsell any VW model 100-to-one here year after year, and this is exactly what Volkswagen is setting out to change.
The fact that this small thread has several people who purchased 2011 Jetta sedans and would NOT have purchased them had the pricing/content continued unabated proves that Volkswagen is moving in the right direction towards their goal. Some of us may not like it, but Volkswagen simply cannot be viable selling a few select cars to a few select buyers.
We had an interesting discussion at compu's place in Detroit this past January at NAIAS. Of all the foks gathered in the house, maybe 25+, the VAST majority did not like the new cars. And I would say we would all be considered VW enthusiasts. Yet I got to looking about the room, and it was clear that hardly anyone in that room had purchased a NEW Volkswagen in the last 5 years, and in fact the majority had never purchased a NEW Volkswagen at all. So, why would any company endeavor to cater to such a group? I certainly wouldn't.
So, given the current [real] Golf is several thousand more than a comparably equipped [North American] Jetta sedan, how much more would the Jetta sedan be had they continued to make it the same as the Golf, just with a trunk? Historically, the Jetta was about $1500+ more than a Golf, all other things being equal. So that 4dr/TDI/DSG Golf for $27k would have meant the Jetta TDI/DSG would have been, what, knocking on 30 grand? But now, the new style Jetta sedan, even with a TDI, can be had for ~$23k? That is a SIGNIFIGANT amount of money, and I am betting Volkswagen will see sales improve because of it. And the starting price of $16k simply blows just about anything else out of the water in terms of value... even the Korean brands.
Personally, I'd like to see both styles/lines available in dealer showrooms, but I know that is unrealistic since Volkswagen probably knows not many people are gonna buck up for a smaller car for ~$7-10k more just for things like IRS and a squishy dash pad.