----- Original Message -----
From: "James L Wolf" <[log in to unmask]>
> There have been some pie-charts put out there showing how much of your
> $18.99 per CD supposedly goes to whom. Is there any information that
> would show how income from sale of 78's was distributed? In real terms,
> I would guess that CDs are cheaper to produce than 78s were because of
> increased efficiency (and centralization) of methods of production and
> distribution, what with global capitalism and all, and that a higher
> proportion of CD revenue is profit. In any case, it would be neat to see
> some good data on the changes.
Well, with 78's, the record companies were under NO obligation to pay the
artists anything more that the fee they got for participating in the
recording session (until 1944, when the AFM strike was settled). Since
78's sold for well over the cost of their manufacture, most firms sold
the players at cost or less on the assumption the purchaser would
then buy the records, which were the high-profit items.