I think they've always set the retail price at $99, but they also have that $20 rebate for several months. They probably also have a rebate if you've bought version 8 in the last few weeks/months. I hear the same complaints about Apple's iLife and iWork apps.
There's still things I never touch in Elements 8 but that's why I can't justify Photoshop or whatever it's called now! Can you even buy it separately? I've certainly got $80 worth of use out of Elements in the last two years. OTOH, I don't see that much in added features, either. Now, if some one around here wants to get me a Christmas present...