Apologies for the pedantry, but you'll usually find the voltage is transformed down before rectification: it's far easier to step-down an AC supply than a DC supply
That said, I suspect you're right that it's the transformer that makes up the bulk of the extra cost: for LEDs I doubt you need a huge amount of smoothing of the supply, which means the recitfier is 4 diodes and a capacitor.


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