I disagree with Jimmy but that's because I'm a risk taker too.
If you can get away with starting an item at one dollar, I say do it. Even if its a high priced item.
Because all that counts in the end is that it gets sold and the customer is happy and what creates anything is traffic.
If you have something to sell starting at one dollar only, its a good advantage because if one knows what they are doing they can drive an avalanche of traffic to their items and to their store.
Eventually the price will hit peak ceiling or go above it. If you have lots and lots of traffic, its not even necessary to start it at $1 as you could do it basically full price.
I mean realistically, Amazon is doing pretty well especially in my own business. And they are doing that big sale for nearly 2 weeks where you can list items at full price for basically nothing. Not more than .50 cents per item.
I see many ways to generate monumental volumes of traffic but I found the best way, is through basic traffic exchanges and also high volume safelists. Combining these tools with your own knowledge, can create unpredictable results and explosive sales.
Just don't tell anyone else exactly how to do it, and you're going to be rolling in sales no matter what time of the year it is. Maybe not just your store either, maybe in all your business and affiliate businesses. That's what I have discovered. And it takes a risk, because everything in life does involve risk.