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A similar question was asked on Quora. As @stewart-dean stated in an earlier comment, the primary reason seems to be that it helps to verify that a user entered their email address correctly. Passwords can always be reset. Incorrect email addresses cannot.
It appears that the workflow you experience is an acceptable, albeit frowned upon practice. I did find some additional information in the Developer documents indicating that the workflow you experienced may become unacceptable due to a new policy (FB docs indicate enforceable on April 9th, 2014 at 10am PST.) The document read as follows: As you mentioned ...
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