If you could make the current solutions better, what would you do to change them?
I agree with jefflinwood's comment. Setting a price floor at a reasonable rate will weed out the "$300 for facebook" clients. I'm not sure, however, how you would weed out the bad coders.
Here's what I would do to fix things on the freelancer side - establish a minimum price per hour/price per project. Think about "The Ladders" - a job site that established itself as only for job seekers for $100,000+ jobs.
What if the market was only $75/hour and up? And both developers and clients had to be invited?
On the other hand, whenever I try to hire, my compromises are usually poor communication skills or sub-par code.
We're focusing on attracting the right type of client and we'd love to have your feedback along the way.