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From my experience:
The items drop more or less from bosses in the level range, in epic mode. Grossly bosses level 13-14-15 will drop those armors and weapons of level 11-16 (cloth attire, daggers,...

On the PVE server, i think this isn't so bad change. That will help beginners to get gear more easily (lvl 11-19 range is priced 60s or more, but level 20-29 range most blues are almost given away or...