people that make good apps for Android will likely be rewarded by great sales.
Except that it seems most developers who have an iOS app and and Android app report far better sales from the iOS version of their apps.
In some sense you are correct, people will buy things that provide value to them. What is unclear is if the "value" in their Android handsets is the availability of apps, or the greater availability of free apps. People buying iPhones seem to expect to pay for additional apps. It's unclear if people buying Android devices expect to pay for apps, or if they expect it to be FOSS, where the majority of the apps are free. If it's the latter case, then Android may never be a profitable primary distribution source for developers, though it can be potentially monetized in other ways.
To my knowledge most developers aren't exactly earning a mint from either platform. There are success stories on each platform, although as the iPhone at one time had more users it seemed only logical to go for that market.
Android is now at a point where the average user couldn't care less about OS having open-source aspects. The reason few people buy apps for Android is because while there are a lot of apps most of them are awful or have free alternatives. This is what separates the iPhone experience from the Android experience, and in my mind this is why people don't spend big on Android, and why people would if the right app came along.
It can, but many prefer to be be to charge a price for an app and give a great user experience rather than making it free and stuffing it with ads. iOS allows you to do this far easier that Android does currently.
Except that it seems most developers who have an iOS app and and Android app report far better sales from the iOS version of their apps.
In some sense you are correct, people will buy things that provide value to them. What is unclear is if the "value" in their Android handsets is the availability of apps, or the greater availability of free apps. People buying iPhones seem to expect to pay for additional apps. It's unclear if people buying Android devices expect to pay for apps, or if they expect it to be FOSS, where the majority of the apps are free. If it's the latter case, then Android may never be a profitable primary distribution source for developers, though it can be potentially monetized in other ways.