Another form of inflation
Apple yesterday released it's new iTunes with the associated online store. Most songs are priced at $0.99 each. At first glance this seems reasonable but with a second look it's far too much. While the record industry consistently cites distribution as one of it's costs and artists consistently talk about how little they make from a typical album there should be a lower cost online. The cost to Apple of delivering a stream of bits is much lower than shipping plastic discs around the country. At this rate the average 10-15 song album will cost $10-$15.... the same as it does today at the record store. This seeming great idea ends up being yet another form of inflation in costs to the consumer.