The problem is that you're probably representing the prototypical American, who wouldn't know good bread or baked good if it hit them.
Customers don't know the difference, so most places are fine with serving frozen cakes from the local wholesaler. So the labor rates is driven by those costs.
Well, the typical American is the one who is being sold the crescent/croissant so I'm not sure the point you're making.
Good croissants are croissants out from the oven. Ingredients and method can influence quality but an expensive baker is not going to make worth more than 2x.
I mean, a $4 croissant can taste twice as good as a $2 croissant, but an $8 croissant is more about prestige. It's not twice as good as the $4 croissant just because you get a certificate of provenance along with the fake story about the family who made the raw ingredients possible.
An $8 croissant would be an indulgence a $2 or $4 is one one can buy every day without thinking about it.
In the early 90s, Starbucks marketing research showed (internally) inverse relationship between latte and Twinkie consumption. Think coastal vs flyover. More a validation than heuristic.
Customers don't know the difference, so most places are fine with serving frozen cakes from the local wholesaler. So the labor rates is driven by those costs.