It's both...
$1,000 a gig is insane, however $10 a gig is even more insane in my opinion.
I won't state the price that I charge, but it is in the hundreds (100, 200, 300, etc), and I consider myself to be under-charging at that price. Amature magicians (and by amature I mean the ones that do it as a side income) charge around $300, and professionals charge in the THOUSANDS. Go to gigmasters and look at the max price for some of the pros on there....If someone charges $200 an hour, sure it's under-pricing, but it doesn't really hurt any other working amatures out there, however by charging $10-$30 a show makes the booker think that is the normal price, and when then go to hire another magician- one who charges the average price- they will not book that magician because they are used to a price that is 30 times less than the norm. By charging $10-$30 a show, even $50 a show, you are selling out every working amature in your area who charges a fair price.
Ask a working amature in your area....chances are they charge anywhere from $200-$400 a show, and do 4-10 shows a month if they're really into it and 2-5 if they really do it as more of a hobby then a side job. So yes, it is how many times you make the money, however it also matters equally as much how much you make too- even if you don't care about the money but do it so that all the other magicians in your area have a fair chance of getting a gig.
~David Rysin