I believe the OP's original point is that he is frugal. And this speaks volumes. There is clearly a stratified market for knives. Looking at myself, I have multiple chef knives. 4 are made in the US and one is from Germany. My parents were chefs and I can cook with the very best i.e. if a Michelin star chef were to eat my food I wouldn't be nervous serving them something from my kitchen. One of my closest friends did the test recipes for all of the Tribeca Grill cookbooks when he worked there and I could hang with him. So I buy fairly high quality, dishwasher safe chef knives. Most of my kitchen knives are made in the USA for that matter.
I also got into modern folders early this year so my one hand openers as of current are made in the US and Seki City Japan. I have two mini grips, a mini presidio and a Spyderco Delica. My traditionals - an Opinel, a Peanut and a trapper which are both Rough Riders are made in China jobs as I had less invested in traditionals than moderns that is until I started using traditionals. Now I EDC that made in China Peanut and a Micra. Moving forward I'm totally in love with Peanuts and I will definitely get a G10 Case and something in D2, all made in the USA of course. If I get a fixed neck knife it's going to be from HardEdgedKnives. I won't be needing another RR Trapper as the one that I have is built like a tank. I'm going to have that little $12 made in China knife for as long as I have the other knives. That said the pricing premium of different knives made around the world are practically mutually exclusive to knife buyers. As much as I enjoy CRKT products the 8CR13Mov steel that they use just isn't as good as 440C, 154CM, VG10 etc...etc... so I gravitate towards paying more for USA and Japan made one handers as well. That isn't to say that my RR's are garbage because they aren't. They are quite capable.
I would gather 98% of this forum would never buy a $3 Frost knife. But who knows at $3 Frost knife, I'm sure the HT sucks and the edge rolls. But that said if someone is cutting only salami and apples and they only have $3 to spend on a knife than that $3 Frost knife probably isn't such a bad thing.
My whole point is that no $3 China factory knife is going to be encroaching on someone wanting a Rough Rider. They sure as heck aren't going to be taking business from Case, GEC, Spyderco and 100% not from any of the serious custom makers. The pricing premium is totally different for all these niches.