SMACC is good, but it will never work. I personally keep these prices in mind when selling or buying stuff, but often there is a choise to sell something for a lower price or not to sell. I chose first.
So there are my suggestions:
1)Every single item should be breakable. Swords, armor, boots, music instruments can be broken in the real life as well as showels or axes, why cant they in Illarion? That will give more work to the craftsmen, since everyone will need to replace broken stuff. This can be made in two ways: items can be repaired by craftsmen, or they just break and dissapear. First is more realistic, second is easier to make.
2)Mining and lumberjacking should be made way harder. Now there is a 50% rate of finding something for a newb and 100% for a skilled miner. Reducing it to lets say... 10% and 50% will keep smiths from making such gifts as a plate armor.
3)Making items in the shop cost more would force people to buy them from craftsmen (such things as leather armor), and also would reduce the amount of the mad town-casters, cause they wont be able to buy the books needed.
P.S. These are only the suggestions, so any critic is welcome.
P.P.S. Forgive me my bad english