I recently got the program Adword Analyzer. It's a great program and all, and I like how it tells you the CPC and whatnot. My question is, if there is a page like this one As you can see there are NO ads on the side. But for me to put an ad up it costs 59 cents. I thought if their were not any ad's, than it should go for .05 cents? Whats jacks the price up like that? I guess I was mistaking.
I think all those ads which are not showing is restrict to specific country. That is why these ads are not showing bus your bid is higher
Google does use a feature called geo-targetting to only show ads that are country specific. Also if an advertiser has ran out of budget for their ads on a particular day, the ad will no longer be shown. But this doesn't effect the keyword pricing, it won't go down just because the ad is no longer shown.
There are a lot of factors that determine the price - e.g. the relevance of your ad text to your keyword, the relevance and quality of your landing page, the 'health' of your account in terms of previous ctr.