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Because once you put a premium priced engine like the LS7 in a Camaro with suspension, brakes and hardware to match the performance it's already at the ZL1 price point.
It's either you have a LS3 like in 1LE for under $40k or you go with the LS7 and quickly jump to the ZL1 range. For economic reasons you can't have both.
I know this has been beaten to death in the Z28 forums for as long as the 5th Gen Camaro has been out.
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