Truth is we do buy CDs so people must not really think the price is too high. The technology to pirate digital copies of music exists. The genie can't be put back in the bottle. The music industry should look for ways to make money under the new technology instead of stifling innovation. However this isn't the first time technology existed that allowed for good piracy.
People already sell illegally produced copies of music and software.
Other media doesn't even require much technology at all to copy, like books. Heck, even this web site is an example. You could highlight the text of this article, make it look like you wrote it and publish it in a book, magazine, or your own web site. In fact, that is extremely easy to do. The only thing that would protect me is the copyright law.