Mine is plugged in most of the time. I just let it run on battery once a month or so and then recharge it.
Currently my MacBook Air says it's fully charged (green light on my MagSafe charger) but it says 98% on the top right Apple bar. Is this a bad sign?
Actually, Apple battery technology is designed to avoid the short discharge/recharge situation that you described. That is why if you plug-in when the battery is already between 93% and 99% charged, it will not charge from that level. When the battery is fully charged, it stops charging and runs on AC power. Only in rare circumstances will it draw power from both AC and the battery, causing the battery to discharge. Of course, a battery will lose charge overtime even if you don't use it, but that is a different issue.This is actually a good thing. Batteries need to be exercised occasionally. Apple, in all their data collection, realizes that people often do the same thing you do, which is to never unplug. So the battery will charge to 100% and then discharge slightly (to ~95%) to keep the electrons moving.
I don't recommend getting battery information from generic sites like Battery University, as they do not have information about Apple's proprietary charging system used in its notebooks.It's not exactly what the guys over at Battery University would say (discharge to 40% then recharge), but it keeps you topped off with a relatively full battery.