Again, you have to remove outside trade to make this work. Remove it. Entirely. No dropping items, no person-person trades. AH only, with a lowered cap.
Raising the cap is just going to put more money into the hands of chinese botters. Is that really what you want?
That is not a free market, that is against the spirit of Diablo, we can't all have nice things.
It is not my job to fight Chinese botters or even care about them, I built my gold fortune legitimately,, the botters are Blizzard's problem to deal with.
It is also not up to you to define the spirit of Diablo, idiot.
edit: you despise Chinese but you talk like a Chinese communist official. How ironic.