Coming from PvP based MMOs, this is in my experience how PvP drives the economy.

1. Gear is expendable, destroyed or lost in PvP and PvE fights. That drives you to buy another.
2. Complete gear loot isn't dropped on missions, quests or dungeons. Only money, exp and raw or rare materials. Gear can only be obtained from crafting.
3. This leads to PvP battles to dominate resources, which is needed for crafting, which supplies gear. Go back to 1.