You both have valid points, but how many "offers" have you seen where they were all expired, and the seller obviously doesn't even respond? or worse, 10 offers, all declined? - seeing offer turns me off as quickly as "reserve not met" does you guys. That said, I'm a fan of putting a reserve, then making the first line of the description spelled out what the reserve is - and insuring that it's fair with regards to true market value. I'm not looking to give away my stuff, but I'm not necessarily out to make a killing over it either, and especially not to over-value it.
Anyways... to each his own. I've been playing the eBay game since 1998 and have seen and done it all on there... Bidding wars can come up at any time on the most unlikely of items, often even if there are similar listings that are cheaper and more complete. Ultimately, if you're looking to unload things quickly, by all means start at 0.99 with no reserve and let 'em go. If you're looking to take minimums, start the bidding at the minimum that you want or list a reserve. If you're looking for a set price and only a set price, forgo the auction format altogether and use BIN. ANY method is likely to piss of some buyer, who will boycott you just for spite. But the buyer that just wants the item and doesn't care about these insignificant details will always bid regardless.
The main thing is to be CLEAR in your description of the item, and to put lots of quality pictures of the item. If you don't want to pay ebay to do that, check out Jpegbay.com - they're free, and circumvent the ebay picture limit.