Dubbing isn't illegal, in fact the supreme court decided on that. In their eyes, the right of ownership of a music cd gave enough leeway to make an inferior copy for a friend or relative.
They were probably eyeing practical reasons, like the explosion of lawsuits and the difficulty enforcing said law.
Regardless, right or wrong is going to be contentious. I can be extremely intransigent, and say 'anything that is illegal in the eyes of the law is wrong', since we are all under tacit oath to abide by the laws of the land. In which case all of us are criminals, since we have at one time probably broken the speeding limit, gotten a parking ticket, etc etc
Assigning degrees of 'wrongness' is where it gets logically hazy, particularly since the 'law' has somewhat arbitrary standards for assigning punishment as well (different states carry different laws, as well as logical inconsistencies). Take lewd and lascivious behaviour, which can range from having sex with your wife with a window halfway open, to being topless etc etc. It carries maximum prison times, far in excess of what we are talking about here (the theft of a few mp3s)
So while I sympathize with those who take the moral and logical high ground, be careful of intransigence..