It makes sense that the free apps are making more when you think about it. They're getting the most money out of each customer. Every customer is not worth 99 cents. Some are worth a LOT more. Just like when you go overseas and the locals have on cheap price for locals and a much higher price for the rich foreigners.

There have to be other ways of achieving the same end goal however without the constant nagging. Has anyone tried a game where people pay by the hour for instance? First hour free?