EVE Evolved: Is EVE Online's death penalty really that harsh?

Massively writes:

"Everyone knows that the death penalty in EVE Online is harsh but is it really as bad as we make it out to be? Is losing a ship really a devastating blow or does the emotional factor of losing something we've put care and attention into make us exaggerate the loss? Since EVE's gameplay is focused entirely on piloting ships rather than walking around with your character, we can get very attached to our ships and feel a great sense of loss at their destruction. It can be hard to keep in mind that our ships in EVE are just tools, which can make their loss feel a lot harsher than it should be. Is this the fault of the player for getting attached to their ship or of the game design for not encouraging us to form attachments with our characters instead?"

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