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CDs are one of the best values out there. For 15 dollars you get someone's art, something they've poured their heart and soul into (assuming its a good artist and not a hack). You get something that you can enjoy time and time again for years. In contrast you spend almost the same amount of money to go to a movie, something that is over and done in 2 hours.
Really - CDs are the best deal around. The hard cost of producing the CDs is irrelevant. Its about the value of what is being produced.
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CDs are terrible value. I once saw a comparison that showed the soundtrack for the film
Chicago only cost about $3 less than the DVD, which included the film (and all the songs on the soundtrack), liner notes, cast and crew commentary, and many other of the standard DVD bonus features. The CD, on the other hand, just had the songs and liner notes. Great value indeed.
And let's not even get into the issue of most CDs these days consist of one or two good songs and then 10 songs of crappy filler.