Kindle Big Deal cannibalises the industry?

Not sure whether the chance to buy books at 99 cents demeans the book industry, but I wish they hadn't done it when my book was newly released.  It seems that to offer goods at way below the production cost eventually kills off the ability of a writer to deliver.  There's only so much 'starving in a garret' that can realistically be done!  Well, my book is free to Kindle readers just now and I am hoping that the entire market isn't gobbled up by the time I have a decent price on there and a chance to make some money from my hard work.  Any other writers think the same way?