Your statement is trivially true in terms of market mechanics, but considering that $400k/yr for an individual puts him in the 99th percentile of all income earners in the US, the argument gets a little harder to make.
"400k" (he/she says they work for a private company so they haven't told us how much of that is actual cash in hand) and also in an unknown location which could be the bay area which in that case, just go work for Google/Meta/Netflix and make that money in cash/RSUs.
I fail to see how the argument got harder, please enlighten me how the fact that other people make less means this job should pay less even though it currently can’t attract the talent they want