I'm of two (or more) minds on this, and the contrasting positions are increasingly hard to reconcile.
I would miss the items. Unlike Martyna's player, I don't collect; I ruthlessly sell and I do it totally in-character (thus, I should hope, dismembering the notion that one cannot RP and sell at the same time).
I would, however, gladly show up to the events without the items. Others would too, and not just role-players...Or, rather, not just those who are part of the RP community and understand themselves as RPers. (More people RP than say that they do.) The events on GL were decently-attended when the only potential reward was recognition.
However, I have the distinct impression that, on GL at least, people have been brought in by items and stayed for the plot and the action. In other words, the items may have broadened the audience in both senses; broadened the numbers attending and broadened the perspective of those attending.
And I will freely admit to self-interest. Those occasions where I get an item are more-than-capable of financing the insurance money and effort from the times I don't.
I have to wonder if our troubles on GL aren't due to a deliberate campaign from one guild, with the deliberate intent to grief and get attention. Not to get stuff, but to grief and get attention.
If I'm right, then the lack of items won't stop them. And indeed we did have people whining for an item when it was widely-known that no items were being handed out.
But, having said all that, I'll go back to something I said earlier. I, and others, would attend were there no items, and indeed were there not even recognition.
Nothing, however, can really stop a person, guild, or other group, with the deliberate intent to grief for the sake of griefing, and that's what I think we're facing on GL; for that rather large guild, it would appear to me that the griefing itself
is the point.
-Galen's player
Quite honestly, I'm becoming of the mind that the EM events should have NO ITEMS ever.
Why?
Because I'm sick to death of the 20 minutes of people whining after the events about:
A) They didn't get an item (when there wasn't one), and thus they whine about the EM(s) wasting their time
B) They didn't get an item (when there was one), the RNG simply wasn't in their favor, and they whine that its favoritism to the people who did get an item
C) When it's a double-clicky vending-machine-style item dispenser and everyone gets an item, and they whine because they can't price gouge the stupidly rich
D) When the item is attendance based, such as rank labeled items or some such, and the person was too lazy to attend that day or any that month (this generally turns into accusations of favoritism)
Since some people can't comport themselves with a little dignity and self-restraint at events, they ruin it for the rest of us. Remove the items and the gimmie-gimmies will disappear, which -yes- will reduce event attendance.
The only other truly viable option is to make all event items a double-clicky vending-machine-style affair. This way everyone who attended gets something and the EMs aren't "supporting" a pixelcrack-based faux economy
Disclosure:
I'm on GL and have many event rares. Some I have 'won' by being lucky enough to loot them, some I have bought from those who were luckier than I. I don't sell them for obscene amounts, but put them in my public library to help chronicle the wonderful plotlines the GL EMs have crafted over the years.