Yeah and whats wrong with that...the seller wants the highest price he can achieve.
If you simply enter your maximum bid too start then there's no way the scam would work.
Cant see the problem... 
This is a different scam, where the BUYER is shill bidding to get an item cheaper (by overpricing it early and other potential buyers don't bother).
stuart30 - In your case, what you are doing is wrong and against ebay rules. If you want to get a certain price, set a rather reserve, its not difficult, nor is it rocket science. Sellers who don't play with a level playing field is exactly why ebay is ruinned. If people played it honestly, stuff finds its natural market value, and everyone is happy. Scumbags who don't want to play by the rules ruin it for everyone.
Trouble is TB Ebay was ruined long ago...before i used it.
Setting a reserve is fine however that incures more cost,im sure as hell aint paying even more than i already do.
If someone wants too pay £500 then all they need do is enter £500 as there bid...if some silly bugger wants too set a false price thats way above market value then the £500 bidder simply wouldn't win so no harm has come too them,the only potential loser is the seller....hence why i cant see a problem.
I feel the same way about ""sniping tools"" as you sound you do with shill bidding...hardly ""fair"" now are they. 
Hmmm actually these people who you call scumbags does that include the auctioneers in well known auction houses who pretend there's more bidders bidding than there actually is....ummm whilst it maybe morally questionable is perfectly legal.....maybe not on Ebay but who cares.
In a proper auction, you bid in small increments so it goes at the lowest price possible - thats the point (assuming the auctioneer isn't crooked).
Online not really so possible in same way, so you tell ebay your ceiling, it bids on your behalf.
An open auction, including Ebay, is not about an item going for the maximum any one person is prepared to pay, its about it going for the market value on the day. If you go to an auction house to buy something, you don't say how much you are prepared to pay for an item, which in effect what tossers who shill bid their own items are trying to achieve.
Note, ebay do not run closed auctions. I'm sure there are plenty of sites that do, or if there are not, then there is you business opportunity.
So your only reason for not putting a reserve on is the extra cost? Well, either pay the reserve, or let the item go at market value, not your idea of inflated prices. Or use Buy It Now.
No wonder Ebay has a bad name when some of its members think they are entitled to something for nothing.
I feel with some auctions, I have to use sniping tools, to conteract the dishonest sellers 

If you fancy giving me your ebay ID, I can add it to my Ebay Ignore list....
I disagree....when i wish too buy an item i have a maximum amount im prepared too pay,its not what its worth too the seller its what its worth too me.
If i see a car and i feel its worth £500 too me i bid £500......if it sells for less great if it sells for more then its not worth it too me.
I sell stuff on ebay too make as much money as i can....hell thats why im selling it. 
Skuntie if i had no morals i wouldn't have sold my Car too a member on here for half of that i could have made on Ebay and even then let the chap off a few quid when it came too handing over the folding.....im not out too rip anyone off (can all members on here HONESTLY say that i think not) however if someone on Ebay is happy too pay the price THERE bidding then fine....remember im not sitting on there computer making them bid am i....its there choice.
Im more than happy too take any flack..id rather be honest and up front about Ebay than keep quiet and secretly laugh at buyers. :-? 
Oh and i have 100% feedback....on over 300 sales/buys.
What the hell is there to disagree about? Its an open AUCTION. What part of that is so rather difficult? It doesn't need a massive amount of intelligence.
Ebay provide the tools to ensure you get the price you want, but you appear to be too tight to pay for that.
If you don't like ebay rules (which most people play by, just ruined by the selfish few) or pricing, try another site, or set up your own rather online shop.
The whole point of an open auction is to allow buyers to get products at the lowest price on the day. Sounds like you need a closed auction - an auction with secret bids, and highest bid is the amount paid. Ebay do not provide this, so use a provider who does. Needless to say, closed auctions are not that popular with buyers for obvious reasons.
Cheating at auctions is fraud.
As said, if you want to be open and up front (which I doubt, as I bet you don't write on your auctions that you are shill bidding to get best price), let us know your ebay ID, so we can all add you to our ignore lists - I don't want to trade with cheating fraudsters
