I can really see Andor's problem with the cash issues in D&D. How many DMs actually enforce the looting rules? Er... that is, cash in a community by demographics?
"Oh cool, we find a chest packed with masterwork scale mail, a +2 dagger, six scrolls, four potions, and nine black pearls? We sell all this loot in the village of Alcras... Huh? What's this 'gold piece limit' and 'assets' stuff you're talking about?"
Many players and DMs gloss over these things as an abstraction. D&D is a game that is full of abstractions despite what some rules-twitchy people claim (hit points in particular can't get much more abstract). In this vein, I describe most of the character's holdings as not being literal sacks of gold and gems. Much of it is tied up in lands and the like.
In and of itself, I have no problem with the idea that a staff of fire is valued at 17,750 gp. I do share Andor's problem that I don't like the idea of a wizard handing over a pouch of gems and just getting such a mighty item like there is a Wal-Mart or Target in every town. Does the Pentagon send truckloads packed with neat stacks of $100 bills to the shipyard whenever the Navy gets a new aircraft carrier? A guy with a sack of gold boullion and assorted gemstones to pay for the rifles issued to the Marines? I understand that its a fantasy game and all, but such situations as this don't stretch logic and imagination, they defy it.
Even major purchases for regular people in the real world rarely involve the exchange of physical cash. People just don't pay for houses and cars with cash, in history or literature. Check out page 101 of the Dungeon Master's Guide. A mansion costs 100,000 gp. Even a 'grand house' costs 5,000 gp.