Sarah - That's right - my guess is most people are way undercharging for "art" cookies. To make money at the prices most people seem to charge ($3-$4/cookie), you'd have to simplify designs and crank them out a lot faster. (NOTE: I no longer sell my cookies. I make my money in other ways, so that's how I can justify spending an hour or more on one cookie.)
Basically, if you want to make a 10-15% profit margin after overhead (assuming overhead is 20 to 30% of sales if you have a physical shop and pay licensing and other regulatory fees), then your combined labor and food cost cannot exceed 55-70% of what you charge. So if it takes you 10 hours to make a dozen cookies from start to finish, and you want to pay yourself or someone else $10/hr (which is what I paid my employees 8 years ago), then your labor costs alone would require pricing these cookies at $8 or more dollars a piece.
As Aymee noted, she's purposely streamlined her designs to make her business profitable.
Anyway, I'll point her to this forum. I'm pretty sure pricing is one of the topics she plans to address. It's a really important one.