Make that two people in the country who pays use tax.

I guess it's somewhat of a consolation that we aren't alone.

Agreed in terms of cost of goods, but do not forget that there is time involved in grabbing a box, putting the game in a box, putting packaging material in, printing packing slips/labels, sticking on the labels... then there is the cost of tools to make this process more effective, cost of management, and there are also minimum wages to pay for the person who does this work.

Also, there are days when there is only one order per day and the person may not pay for his/her time by packaging the boxes.

SO - for a small operation, I would generally agree with you that difference between actual ship cost and charged shipping is profit. For larger operations (hundreds or thousands of daily packages/orders) often only fraction of the difference is profit.

Note: I work for a fulfillment company that packages and ships goods.