In theory if people are giving all of the money to Nvidia, then it's because they find it valuable (in this case companies purchasing GPUs) so even if the GPUs weren't so expensive in theory there would still be economic value derived from the transactions.

In theory.

This is absolute NO, this is more like certain groups of people have figured out a way to maximize their profits and this seems like a type of scheme that works. Ordinary people are on the receiving end of these decisions if anything, at times they do get something out of it