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Of course it does. The iPad is like 10x bigger isn't it. lol
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Yes.. higher resolution justifies the higher price.. Thats pretty much the only difference. The iPad cpu is basically just a higher clocked Cortex A8, it does not blow the iPhone 3GS out of the water in terms of processing power, and actually has the exact same GPU. So its not like the apps are that much more complex due to a faster system..
Apple has a very smart marketing, they know what they can charge and still get people to buy it, apparently they did their research and people are willing to pay more for iPad apps.