Identify completely broken?

"A wand is a thin baton that contains a single spell of 4th level or lower." -- DMG 3.5E
There is a reason wands are cheap to create. They are limited in their usefulness. You can't go around flinging Horrid Wiltings from a wand just because you have a ton of money to create it.
Whoever had the point about the cost of Wands of Identify is quite right, though. They cost at least 6875 gp (for a 5th level caster with 50 charges). I don't know how many charges wands have in TOEE, but if we assume 20, it costs 3875 gp, and 75 xp.