The days of 99c downloads are gone, the world has moved on. If you list an item it must be priced at least high enough to cover all the fees on the sale, as well as a margin for profit to make it worthwhile. For US sellers that is 9.5% plus 40c. (3% plus 20c for payment processing, 6.5% transaction fee plus 20c renewal sold fee). Anything under $1 is not a viable price, you are basically giving your work away. For every 100 $1 items you sell, you are going to pay half that in fees so you are barely making 50c per sale. If the system is telling you your price is too low, listen to that advice.
