When applying Test-Driven Development (TDD), one begins with a failing test. This step, that might seem unecessary, actually is here to verify the unit test is testing something. Indeed, if the test never fails, it brings no value and worse, leads to wrong confidence as you'll rely on a positive result that is not proving anything.
When following this process strictly, all ''units'' are protected by the safety net the unit tests are making, even the most mundane.
Assert.IsEqual(p.DiscountPrice,90);
There is no reason the test evolves in that direction - or I'm missing something in your reasoning. When the price is 100 and the discount 20, the discount price is 80. This is like an invariant.
Now imagine your software needs to support another kind of discount based on percentage, perhaps depending on the volume bought, your Product::DiscountPrice() method may become more complicated. And it is possible that introducing those changes breaks the simple discount rule we had initially. Then you'll see the value of this test which will detect the regression immediately.
Red - Green - Refactor - this is to remember the essence of the TDD process.
Red refers to JUnit red bar when a tests fails.
Green is the color of JUnit progress bar when all tests pass.
Refactor under green condition: remove any dupliation, improve readability.
Now to address your point about the "3-4 layers above the code", this is true in a traditional (waterfall-like) process, not when the development process is agile. And agile is the world where TDD is coming from ; TDD is the cornerstone of eXtreme Programming.
Agile is about direct communication rather than thrown-over-the-wall requirement documents.