No, they're not dumb, they're most likely bad actors trying to raise fees permanently.

Jokes aside, I didn't find any logical reason to increase the fee more and more when the recommended fee is way lower than what they have spent. I thought they were average Joe who did not understand the system and they kept bumping their fee until their transaction got included in a block. But, if they are real average Joe who does not understand when they should increase the fee when they don't need it, how do they know that there is an option to increase the fee which boosts up the transaction fee? Or maybe because sometimes it takes a long time to find the next block and they might think their transaction is stuck because of the fee? But the reality is; that their fee was enough already but the next block wasn't found yet.