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It depends to a large degree on how much I want the book, plus the e-book price vs. p-book price - i.e. how much is it worth to own an e-copy and is the p-book version much cheaper?
But for genre fiction and other quick reads, books that I probably will only read once, I guess my limit is about 7-8 USD, max 10. But it doesn't mean I wouldn't buy it if it was a bit more expensive... Between taxes and shipping, e-books are most often the cheapest option for me - a mainstream paperback, ordered from England, would typically cost me the equivalent of 15-20 USD.
A 5 USD book is at the price level where rarely stop to consider whether I should buy it or not, as that price it pretty close to 'dirt cheap'.
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