Is there anyway to ensure that a routes ticket price will not get to $1. [...] is there something implemented to prevent such things?
Your question was obviously about some "administrative" control, and dktc already answered that.
But you might also consider how you, as a player, can alleviate the problem. For starters, think carefully before joining the fray. It's easy to see an opponent lower his fares and jump to the edit button. If we took some time to consider the effects, fare slashing would probably happen at a slower pace.
Another thing to try is to mismatch the number of seats on offer. I use this method quite effectively to keep high load factors while minimizing price wars.