The answer depends on the country or even the city you live in or visit. In some places walking around with a $1000 phone is extremely dangerous to your life.
I find that difficult to believe.
You can definitely re-use or sell iPhone parts. Most of replacement parts shops have access to are not sold directly by Apple.
As mentioned in the article, some parts won't work and others will show warnings. And sometimes you can reprogram chips with small devices easily available from China, which essentially defeats Apple's hardware pairing.