The statement "eBooks are cheaper to produce" is *wrong*.
At least, it is for *new* books. Reprints and out-of-prints are a different kettle of fish altogether.
There was a very nice article a while back (I forgot the URL now) which followed the creation of a new book from the moment the author had The Idea to when the book finally hit the shelves. And by the time you had the author's percentage, the cover designer's fee, the proof-reader's wages, the "this", the "that" and the proverbial "other" accounted into the final cost, the cost of actually printing and distributing a *NEW* book was pretty small in comparison.
Again, I'll emphasise this: for **NEW** books.
Once the book has sold, especially the more modern books which are electronically typeset anyway, then yes; the eBook version is much cheaper to produce than a re-print.
But, like the prototypes for cars and planes, etc..., there is a lot of initial sunken cost in bringing a new product to the market, so there doesn't tend to be much of a saving between Hard-cover/paperback first prints and eBooks.
And no, I am not associated with the book industry in any way, except as an avid reader.