What's The Right Price For Erotica?

As I mentioned a few days ago, I've lowered the price of my collection of short stories to $4.99. That's still a dollar or two (or three) higher than many similar books out there.

Which raises the question...what's the right price to pay or charge, for good writing?

I've noticed that many writers provide free dowloads of some of their books and that seems like a good way to get readers, especially if you have other titles for sale. Once I read a book that I like, I usually buy more by that writer. I expect that others are probably doing the same thing.

Just like those freaky extreme cheapskates on TLC (did you see the show about the woman who used rags as re-usable toilet paper? Eeewwww.) there are some people who will never pay for a kindle book. They will simply fill their ereaders with all the freebies, since there seems to be an endless supply of them. They probably aren't my target audience.

So then the question becomes, what is the right price? 99 cents? $1.99? $2.99 seems pretty standard. Should price be based on the amount of erotica? The quality of the writing? Or how about the length of the book?

What do you think? What factors do you consider when deciding to buy a book? How much does price play into your decision?