As far as balancing why complain? Suddenly you don't have to worry that hunters are stupid underpowered because all caster classes got a legendary or that rogues are facerolling dps meters because everyone is on an even playing field. The game is built and balanced around this even playing field.
that swings the other way around too, if all the casters classes are too powerfull, then give the hunters a magic res armor.
Cant do balanceing for classes that way, with no itemisation in the game.
Which basically means they ll have to do it via constant skill tweaking.
also, if it turns out that class Y > class X,
then nothing you do item wise will help you, because ever other class X is geared just like you are.
Diablo II had lots of itemisation, and "dueling" was still fun in that.
I dont think items make pvp bad, it just encurages people to do pve content = playing the game = good thing.
Otherwise, guildwars2..... LFG 2 go do PVE content...... *2hours lateron* no one wants to go party,
because item drops are same stats as what they already have on.
Which means it ll just be people pvping non-stop for some kill-death ratio list, trying to stay on top.