@icedquinn
Economy of TES games will always be whacked as long as dungeons respawn and you can basically make infinite gold if you play long enough.
@icedquinn
The prices are what they are because they're made with the player in mind, not to make it look like a realistic world.
Enchanted weapons are expensive so the player can't buy one in early game. He needs to put work in learning smiting and enchanting to make them himself.
Houses are expensive so that the player can't buy one immediately, and when he's gathered up some gold, he'll have a tough choice as to what house to buy, or whether to buy one at all.
And selling watermelons or chopping wood makes little money so that the player can't easily get rich from those things. He needs to actually explore and do dungeons.
A lot of times people fail to understand the difference between what is canon in these games, and when things are the way they are just for gameplay reasons. Canonically, you can buy a house by being a farmer. But that would break gameplay, so in game, you the player can't do that.
this means a knife of backscratching is like 66 watamelon harvests excl. tax