Sean,
To be sure, "what the market will pay" is one component of the pricing of courses. But its not quite so simple, what if the market won't pay what you need to make ends meet? Having a lower 'breakeven' price is pretty important in such circumstances. Even when you are making a healthy profit, would it be desirable to have lower loan payments and maintenance costs so your profit is even healthier?
Let's say you plan to design a typical "championship" course to open in 2009, so you use enough land to make it 7500 yards long, and leave room to expand it to 7900 "just in case". Based on your land and maintenance costs, plus all the other costs, you have to charge $50/round to make a profit. If you charge less, it loses money and goes bankrupt.
If the ball is rolled back, perhaps for that very same project you make it 7000 yards long, and maybe only leave 200 yards of "just in case" room. Your land costs are perhaps 10% less, plus your maintenance is a bit less too. Maybe your break even line is now $45/round instead of $50.
Its only $5/round, but what if the local market will provide sufficient demand to keep it afloat at $45, but it is too expensive and not enough people come out at $50? There are probably more struggling courses that barely make ends meet or even lose some money each year that the owners hope will be made up down the road when the loan is paid off, more real estate is sold, or whatever, than there are courses that make plenty of money and have the luxury of trying to find that golden 'what the market will bear' point in the supply and demand curve where they maximize profit.