in the current music industry climate, I think as long as music fans are willing to pay for something - be it MP3, CD or even much to my chagrin, streaming - it's a plus. Economically speaking, $14 seems pretty solid for a CD in 2014.
Personally, I buy CD's over anything else and try to find deals when ever possible. I would LOVE for CD's to be priced competitively to MP3/FLAC, but that is probably just wishful thinking. Taking inflation into consideration as well as the demand for CD's being far less than it was 10 years ago, I am actually shocked prices have not gone UP due to novelty value.
I am kind of curious to see where things will go in the next a few years concerning how people get their music fix... by that, I mean that as long as there is a free or "freemium" option that pays little to nothing back to artists/labels and is far more convenient, something is going to have to give at some point. I can't imagine anyone willing to continue making music on a professional scale when having to compete with a free option that doesn't allow them to pay themselves back enough to even buy guitar strings.