RIAA: CDs Should Be More Costly

Posted on February 3, 2007 

The cost of a CD should be exponentially higher, according to the RIAA

The Recording Industry Association of America hasn’t been making too many friends these days. I guess I should say that the organization does have many friends inside the music industry, because that’s who makes up the the RIAA.

If you visit the Key Stats/Facts page on the RIAA website, you’ll notice a justification for pricing CDs. The biggest argument appears to be the fact that the Consumer Price Index rose nearly 60 percent between 1983 and 1996, even though the price of a CD actually went down. While this might be a true statement, this is virtually worthless in determining how much a CD should cost.

Let’s examine this statement, directly from the website:If CD prices had risen at the same rate as consumer prices over this period, the average retail price of a CD in 1996 would have been $33.86 instead of $12.75.

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