I don't market article writing or ghost writing services anymore, but I used to.
And the least amount of money I EVER worked for, this was a couple of years ago, was about .03 per word.
I would NEVER write that cheap again. But I see these "$1 to rewrite" posts and it makes me laugh.
Those guys have been around forever, that segment of writers who will happily write that cheap.
Guess what? They aren't your competition.
I charge sometimes $1 plus per word to "write", although I don't quote that as the fee, and clients happily pay.
The REAL question is what do you bring to the table? Can you write high quality blog posts that drive traffic and links?
Can you write articles for ezine that get tons of views and clickthroughs?
Can you write copy that convinces people to take action? (That's where the money is).
Press releases? Resumes?
There are a million different markets out there, and even if you want to compete in the "webmaster article" niche there's still plenty of money to be made.
These guys aren't your competition.