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Syzygy - 1:58 pm on Jan 18, 2010 (gmt 0)
Many webmasters here swear that India offers the best source of cheap writers, and that the CPM of $10 is about right. As you say though, it screams 'iffy quality'. The other favoured source seems to be college students, specifically those studying English. Sites like eLance and Rentacoder always get mentioned as useful places to find content writers. What about via your own site? Have you considered advertising to your own visitors? Syzygy
There are lots of places you can go to find professional writers, but not at those rates. That's not to say you won't have your arm bitten off when you put the work on offer. And undoubtedly you'll find people of a good enough quality, even at just US$100 per 1,000 words, but they won't be professional, full-time writers.