But then a lot of people wouldn't be able to afford owning a domain, which to me seems more evil than domain squatting. Artificially raising the prices hardly seems like a fair solution.
(The "I'm not advocating this" part seems to weaken this, though. )
If the problem isn't "domain name registration might be unaffordable for the impoverished"... maybe it's worth thinking about what the problem is?
Most of the world can't seriously afford $100/year for a domain registration. Get out of your bubble.