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I've been wonder about use-activated vs continuous myself. I'm looking at creation a magic item that creates a continual obscuring mist around my character when activated but I'm not entirely sure what to do about the cost.
Technically 1×1×2000=2000 (or 1800 if command word activated) if it has an item slot (i'm thinking cloak) and when compared to the slotless though less powerful horn of fog it seems right (also an ever smoking bottle is 5400 but once again it is slotless, so if it had a slot it would be about 2700).
Is there any thing else I need to add, for extending the duration of the spell (like you would it were continual) or anything?
How long does it stay activated for? The duration of the spell or until deactivated? I'm leaning words the latter based on items like the ever smoking bottle and the lantern of revealing.

SeaBiscuit01 |

If you want to use a continuos use item, you need to use the 2000 modifier.
Then you have to multiply the cost by 2 because of the 1 min/per level duration.
If you want it to be a slotless item you have to multiply by two again. Like using a Ioun Stone.
So the price would be
1 Spell Level x 1 Caster level x 2000 Continuous use x 2 Duration x 2 Slotless = 8000 gps.
Hope that helps!

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I don't want it active all the time, but I'm not sure how long it would stay active for if i made it use activated.
The mist mail (plus the horn of fog and the ever smoking bottle) makes me think that I'm on the right track with the cost of 2000gp for a cloak that when activated creates an obscuring mist around the wearer.
I based on items like the mist mail, the ever smoking bottle and the lantern of revealing, I guess it stays active until I deactivate it.... I guess that's right.