I hate to say this - but most people just don't care. You're living in a world where most people are not interested in treating this like an economics simulation, and only really go to the AH to sell items they don't want.

Especially on a high population server like the one I'm on - there's really no controlling the price. Most people who are selling are not interested in doing a lot of work to make a profit.

. . . and sometimes volume IS more important than price. A lot of real life industries thrive on mass production, which allows you to sell huge volumes - at a low price!

It's not a bad thing to get more profit by volume rather than by individual profit margin.

In fact, I would argue that a lot of items in the AH will actually get you *more* profit from volume sales rather than from high prices. A lot of profession based items are easy to turn into large volume businesses.

If you price things TOO high, you risk having your customers move towards making the items themselves, rather than buying at the AH. Then you're left with items you'll never sell because customers will never buy them.

You have to look at supply AND demand - you can't just look at one and ignore the other. Demand is elastic in this game - it can change, and change easily.