AJ mentioned 4 or 5 players before the signings today. That now makes it 2 or 3. No clubs outside the top 6 in Scotland have much money at all. We have higher average attendances than most Championship clubs, as well as our Lifeline scheme, which generates an additional £200k per year for the club. That means that we can afford to match, if not beat, wages offered by the majority of clubs in the league(s) above us.
You're using Talbot and Fordyce as examples. Livingston's average attendances over the last few years have been around the 1,000 mark I believe. Which suggests their players won't be on very much at all, for a full time club. Same goes with Paton from QotS. Murdoch has never been first choice keeper anywhere and has recently been playing the equivalent of Juniors football in the U.S. - so I don't think he'll command ridiculous wages. So I find it hard to see how you've come to this conclusion... Or are you telling me that every single club in Scotland apart from your beloved Raith are overspending? Barrowman, Buchanan, McAusland and Paterson were some of our top earners, I believe, along with those mentioned by you. This freed up that money.
Being in a lower league, doesn't mean we automatically have less income. Majority of income comes from the size of fan base (ticket sales, merchandise sales). As I say, we do have a larger amount of ticket sales, and going by the attendance at the kit launch, probably more kits sold.
We also recently signed a lucrative sponsorship deal with SRJ Windows. This has resulted in them having advertising in the dugouts, outside the stadium and on the shirts. Again, this provides decent income. Funnily enough, more income means we have more money available to spend.