Digital rip-off?

I just want to know why? Why are digital books more expensive than paperbacks?

The authors write them on computers. Then submit them from those computers. The publishers store them on computers. Then print them from computers. If I buy a digital book, I get it from a computer; either the publisher's computer or a reseller's computer.

Yes, I realize this all takes people and overhead. But... c'mon... this is ridiculous. Short stories (usually under 100 pages) are often $1.99. Same amount of overhead, somewhat less storage space. Why can't a full novel in digital form cost less than a paperback?