I think this is exactly the issue we're discussing here though. What fun is it to have a character that just has a ton of repair hammers that occasionally get used, and that's about it?
To come back to the earlier point about durabilty during combat, say you can break the armor item. Wouldn't the armor value be much easier to take down? For instance, armor that has like 50 defense only absorbs 50 damage. So essentialy you do break it at 50 damage. It doesn't reflect in the durability, but for gameplay purposes its broken.