Okay.
What did a toaster cost in the 50s?
A Sunbeam T-20 cost $22.50 in 1949.
In 2007, $22.50 from 1949 is worth:
$195.61 using the Consumer Price Index
$164.54 using the GDP deflator
$319.17 using the value of consumer bundle
$325.27 using the unskilled wage
$575.39 using the nominal GDP per capita
$1,165.09 using the relative share of GDP
http://www.measuringworth.com/calculators/uscompare/result.php
Meanwhile, I can trot down to Big Lots and buy a new toaster when mine breaks for $10. Or I can probably pick one up next Saturday at a garage sale for one or two bucks.
Are the people producing cheap toasters being unethical, or are they giving people what they want?
If they produce a fine quality, highly durable toaster that sells for $100+, are they being ethical or foolish? How many people are willing to pay that much more for a durable toaster? Are you? I know I’m not.
If people don’t buy their toaster, they won’t be in business long. Is that ethically meeting their responsibilities towards their investors and employees?
Yes, they are being unethical. The buyer doesn't know the difference.
If they produce a fine quality, highly durable toaster that sells for $100+, are they being ethical or foolish?
We won't know, because a fine quality toaster no longer exists.
If people don’t buy their toaster, they won’t be in business long. Is that ethically meeting their responsibilities towards their investors and employees?
Their responsibility is not to their investors, nor to their employees. Their responsibility is to their work. To their craft. Worry about the work and the money will come.