*Epub ✘ Rockonomics: A Backstage Tour of What the Music Industry Can Teach Us about Economics and Life ☋ Ebook or Kindle ePUB free

Rockonomics, Alan B Krueger, 2019, 325pp, ISBN 9781524763718A light introduction to the money aspect of the music business See also Kurt Dahl, entertainment lawyer and musician advice at You Need to Know About the Music Business, Donald S Passman, 9th edition 2015, ISBN 1501104896The Economics of Music, Peter Tschmuck, 2017, ISBN 1911116088EXTREME INEQUALITYThere are millions of very able musicians who can t earn a living at it And a minuscule number very highl Rockonomics, Alan B Krueger, 2019, 325pp, ISBN 9781524763718A light introduction to the money aspect of the music business See also Kurt Dahl, entertainment lawyer and musician advice at You Need to Know About the Music Business, Donald S Passman, 9th edition 2015, ISBN 1501104896The Economics of Music, Peter Tschmuck, 2017, ISBN 1911116088EXTREME INEQUALITYThere are millions of very able musicians who can t earn a living at it And a minuscule number very highly paid The economy as a whole increasingly resembles this.The top 1% of performers take 60% of all concert revenue p 14 view spoiler Counting only concerts big enough to be on the radar of industry bigwigs Surely an infinitesimal fraction, if it were to include all the live music tonite gigs at the average bar, the band playing for drinks and tips hide spoiler PRAISE THE INVISIBLE HAND IGNORE THE IRON HEEL YOU SEE The note the author doesn t hit is, monopoly profit comes of appropriating what should be the commons, and charging us all rent We all have to buy the same software not because it s good or fashionable but so it works with everybody else s Laws perpetuating monopoly rent aren t what we choose, as the author has it our representatives don t even read the lobbyist written laws before enacting them What would be felony graft in a civilized country is constitutionally protected speech in the U.S So the analogy misses some key marks The author s refusal to use the word, monopoly, calling them, superstar firms, chapter 4 ignores the political causes of inequality we suffer The author has drunk much of the Kool Aid of his profession He glibly refers to the law of supply and demand, as if we lived in the Econ 101 free market fantasy, many buyers, many sellers, no one has control over price He speaks as if inequality results from natural laws in the natural world, and can only be accepted To the contrary, markets are artifacts, created politically and are not free to all but have been captured by the powerful, to extract wealth from the rest of us He shows no awareness that the endpoint is, The supply of slave labor has decreased the demand for free labor I don t have to pay you a living wage And, I control the supply of what you need You ll pay what I ask That inequality is a political artifact and requires political combat, is foreign to this economist s thinking He admires the industrial transformation of producing music in a disused Polish textile factory p 195 ignoring that we re not post industrial clothes are still being made, by everpolitically powerless people Their degradation erodes dignity and wages everywhere The author is a fan of letting the market determine royalties, rather than trying to legislate a fair level pp 229 230 In practice this means the market dominator gets his way And how are millions of musicians to negotiate with thousands of radio stations The author loves the words, supply and demand so much, he bolds them e.g p 243 As if they re immutable and profound In truth, the supplier of a concert chooses the supply number of shows, size of venue, staging for seating in what portion of arena Thomas Piketty and Joseph Stiglitz are less poisoned by market worship than the average economist For lessons of the past, learned with workers blood, most economists ignore There Is Power in a Union The Epic Story of Labor in America, Philip Dray, 2010, ISBN 0385526296 Sometimes he blithers music continues to provide a means of upward mobility In 2016, 26.5% of the musicians in the Billboard Top 100 were from the bottom 10% of families by income Musicians with a top 100 song are likely to reach the top 1% of income earners that year, so a career in music is associated with a greater bottom to top mobility than in the economy overall p 73 No Fifty three people making it into the top 1% of a country this size is not upward mobility He does say that among those whose main work is as a musician, median yearly income from all sources is 20,000 view spoiler Only 213,738 workers p 52 hide spoiler Only about 1 in 1,000 are in the top 1% of all incomes This is NOT upward mobility The author admires small cities massive arts complex projects in an effort to rejuvenate the city and retain population p 42 Usually the city is worse off for building the white elephant See Michael Moore, Roger and Me, about Flint, Michigan Build it and they will come was from a fantasy movie Field of Dreams Madison, Wisconsin did an expensive rebuilding of its civic center, to make a posher playground for the opera set It s a continual drain on city finances, and obligates the mayor to try to get acts for it And the average Joe is priced out of what formerly was a civic center for everyone.The author gives a shout out to In Praise of Commercial Culture, Tyler Cowen Yay capitalism It creates a very few winners, some of whom buy cool stuff, and millions of losers, all of whom suffer and some make music Cool p 5 MATH WHATEVER The author gets even simple math wrong view spoiler He tells us, musical preferences followa power law distribution of popularity the popularity of the most popular item is a multiple of the next most popular item, and so on down the line p 87 If he s saying anything here, he s saying that for, say, Fig 4.2, Number of Music Streams of Top 2,500 Artists in 2016, by Rank p 89 , number of streams, S, at successive ranks, R and R 1, is a constant ratio S R S R 1 constant, for all RHe s describing an exponential distribution S e , k constantSo plotting log S vs R should be a straight line log S kR constantNot even close wolframalpha.com input i plot 1,logFor low R, log streams drops off very steeply with successive R at high R, log streams is nearly constant with successive R The actual distribution becomes much flatter at high R than does the exponential distribution the author describes If instead he meant to say that streams, S, is proportional to rank, R, to a power,S R , k constant,then log S plotted against log R would be a straight line, log S k log R constantA reasonable fit wolframalpha.com input i linear fit This could be described by saying, each doubling of rank reduces streams by the same ratio For 28.00 hardcover, Professor, say what you mean Plot on scales that reveal rather than conceal how your variables relate to each other A few general words about power laws from Mark Newman goodreads.com author show 90676 More details Power laws, Pareto distributions and Zipf s law tells us that people taking advice from other people on what to listen to, creates this sort of power law distribution of popularity He says nothing about why, but points us to Networks, Crowds, and Markets Reasoning about a Highly Connected World, David Easley, 2010, ISBN 0521195330, chapter 18, pp 447 455, here cs.cornell.edu home kleinber networks The whole book is here cs.cornell.edu home kleinber networks hide spoiler NOT MUCH MONEY IN MUSICKrueger tells us there s not much money in music Figure 10.1, p 234 shows 49 countries wholesale spending on recorded music vs GDP For all sizes of economy, these countries averaged 5 spent on recordings per 50,000 of GDP Presumably that s on physical media mostly CDs , now less than 20% of the total most is streaming now Figs 2.1, 2.2, pp 30, 31 Those countries that spent a slightly higher fraction of GDP on recordings are the wealthy countries Most countries are too poor to even be in the data set Even the wealthy countries spend shockingly little on recordings They spendon streaming and on concerts Even Paul McCartney earned 82% of his income from live shows in 2017 p 37 But even all told it s a tiny fraction of income Americans spendon potato chips than on recorded music p 24 Strangely, the author s data don t include spending on musical instruments, nor employment of music store clerks, but do include sponsors paying musicians to promote their products, and do include parking at concerts pp 27 28 ROCK STARS ARE NOT DEADISBN 9781473541764 Uncommon People The Rise and Fall of the Rock Star, 1955 1994, opined that never again would a musical act fill a football stadium To the contrary, says the present author, concerts grossing millions of dollars each are still happening, and not showing signs of dying anytime soon.WE KINDA SORTA MAYBE KNOW A LITTLEAs one insider said, there is a limited amount of transparency in our business p 29 Most of the data the author presents don t really exist much of it is guesses The author shares some of what he does have at and p 4 STREAMING33.2M different songs were streamed in 2017 Spotify has 35M tracks in its catalog It would take many lifetimes to hear them all p 86 SCALPERSScalpers take 1M 1.5M per Springsteen or U2 show, to fans cost p 143 QUIZ TIMEThe book answers questions such asgoodreads.com trivia work 65385847 ro Let s get one thing out of the way This is neither the sort of exhaustive coverage of recorded and performance popular music that David Byrne gave us in How Music Works, nor is it the popularization of macroeconomic theory and pop culture provided in light hearted studies such as Dubner Levitt s Freakonomics Nevertheless, it s a fun and fact filled study of how modern music shifted from physical artifacts to streaming, and what that means to the business behind the star making machinery I g Let s get one thing out of the way This is neither the sort of exhaustive coverage of recorded and performance popular music that David Byrne gave us in How Music Works, nor is it the popularization of macroeconomic theory and pop culture provided in light hearted studies such as Dubner Levitt s Freakonomics Nevertheless, it s a fun and fact filled study of how modern music shifted from physical artifacts to streaming, and what that means to the business behind the star making machinery I gave it a full four stars because Krueger, Obama s former chairman of the Council of Economic Advisors, has taken careful note of the economics of live performance and of streaming services, and has given us the only popular music economic study that covers the world beyond 2015 What Krueger tells us about popular music gives us plenty of clues as to how vertical economies in various market sectors operate, as well as national economies interacting on a global level.Nevertheless, I m going to have to give the book two serious caveats, one tactical and negligible, the other strategic and in many senses a potentially fatal flaw in the book s vision On the tactical side, Krueger wants to drill some fairly pedestrian concepts in to his audience, who may not be familiar with economics or with pop music at all, and it can make the writing a little too light and fluffy at times If you compare this to Byrne s work, the Talking Heads singer remains breezy and on topic throughout his book, yet introducescomplex topics in less space while never talking down to his audience Krueger may have taught too many undergraduate economics courses in his life, but we can forgive him some occasional moments of tedium.The bigger problem is related to the old bumper sticker produced by Adbusters magazine that said Economists must learn to subtract In this case, global economists must learn to look beyond the global superstars of the music business Because Krueger has dealt with power laws and the economies of scale his entire life, only those phenomena that scale exponentially interest him Yes, he admits that the wild success of streaming which has surprisingly made money for even small independent artists, showing up the absurdity of the few anti streaming curmudgeons out there, like Lucy Kaplansky , is the classical tide that rises all boats, since the current rate of some 2 trillion songs being streamed a year makes itlikely people will hear some very obscure artists Yet Krueger goes out of his way to dismiss or undercut the argument made by former Wired editor Chris Anderson in The Long Tail Anderson said theinteresting part of a new market resides not in the top selling 5 or 10 percent, but in the vast number of smaller players that make up the long tail Krueger figures that, since Drake s streaming vastly outnumbers all other artists streaming, the technology must favor superstars and will only consolidate the market further But he s talking about the froth at the top of the beer glass, and as we all know, shit floats to the top.The most important factor in the impact of popular music is not popularity, but how creativity influences artists decades down the line Forty years down the line, no one remembers Debby Boone or Andy Gibb, but everyone remembers punk rock, no wave, and old school rap It s a little extreme to argue that obscurity itself is a good thing, but it s important to remember that 1970s artists now considered deeply influential, like Nick Drake, Brian Eno, and the Velvet Underground, did not sell many copies of their work in that era the re releases of the 21st century sold vastlycopies than the original releases.Krueger s problem is that he spends all his time talking to the promoters and managers of groups and artists like Bruce Springsteen, Billy Joel, and Metallica, with predictable results Why not talk to the promoters who book tiny run down venues in dozens of cities, or talk to the managers of quasi underground labels like Homestead, Merge, 4AD, or Sub Pop hell, the latter company has its own dedicated store in the Seattle Airport now, meaning it s doing a lot better than Forever 21 Do we want to think that Krueger simply doesn t know the indie and underground hip hop worlds After all, Obama spokesperson Jay Carney was a big Guided by Voices fan, and Obama s playlists are none too shabby, so Krueger would have to be the nerdy economist outlier in the bunch I minclined to believe that Krueger thinks the underground is merely random fluctuations in the noise, not worth considering among the superstars In this, he cannot bewrong The musical artists who will be most remembered 40 or 50 years hence will be ones whose names we barely recognize today.Nevertheless, despite displaying some faulty logic, Krueger is one of the few outside the music industry proper who understand that the CD is doomed for obsolescence in a matter of months, and that vinyl records will need care and feeding to remain a viable physical artifact option He understands that streaming actually will be good for musicians, both small and large, and provides good advice to newcomers for preparing for a stream centric career now Now if only Krueger would turn his eyes from Drake and Cardi B, and start following music that matters Princeton economics professor Alan Krueger examines the music industry, hoping to demonstrate the study of economics through the prism of popular music, and hoping to draw parallels to the economy at large The result isof a book about the music business than about economics, but I wager that most readers areinterested in the business than in economics, so consider that a success.I may be an exception to the rule, having come close to getting a doctorate in economics myself Will B Princeton economics professor Alan Krueger examines the music industry, hoping to demonstrate the study of economics through the prism of popular music, and hoping to draw parallels to the economy at large The result isof a book about the music business than about economics, but I wager that most readers areinterested in the business than in economics, so consider that a success.I may be an exception to the rule, having come close to getting a doctorate in economics myself Will Baumol, who is cited in this book several times, was supposed to be my committee chair until I decided not to proceed with my dissertation But that was forty years ago, an interval in which my career had nothing whatsoever to do with economics or music.Still, I was hoping to see the application of economic theory to music I pictured a model of monopolistic competition where product differentiation in the form of signing and promoting unique artists and genres allowed suppliers to force consumers onto the inelastic portion of their demand curves, given the high utility consumers place on live and recorded music once they become fans of particular artists and styles.If that last paragraph made your eyes and minds glaze over, perhaps that explains why Krueger made the wise choice not to go there except that he does talk about how artists are positioned as unique, as imperfect substitutes for each other, a key element of product differentiation.Unfortunately, despite devoting an entire chapter to the gratification music gives us, Krueger doesn t place that within the context of consumer demand the concept of utility is in fact what underlies demand, evenso in the context of a experiential rather than tangible good like music The various factors that shape utility in music makes demand potentially inelastic inelastic demand allows suppliers to charge higher prices without dampening demand all that much to me, that s a big part of how technology has affected pricing for live and recorded music.Much is made of the music business being superstar driven, and that s a shame, because it really isn t I live in New York, where there are three arenas in the area and half a dozen large concert halls, so there s maybe an average of one superstar event a day plus one or two next level events And then there are dozens of small theaters and hundreds of clubs that operate Every Single Night Of the year.In terms of the number of people performing, watching, and working, and the amount of business activity generated if you include food and drink, transportation, etc., I bet the superstar and next level events are a drop in the bucket In Nashville, performers have to pay clubs to play People go to Chicago and New Orleans as well as Nashville and Brooklyn just to go club hopping LA, Seattle, Boston, San Francisco, Atlanta, Philly, Portland just go down the list, the everyday music scene swamps the superstar events in sheer magnitude.Similarly, one hundred miles west of NYC, in Bethlehem PA, there is probably an average of one star event a month if that , but there is a vibrant music scene at lower levels that translates into dozens of events each day within an easily drive able radius As an amateur musician who spends time in that area, even the bottom most level open mic business that allows me to pretend to be a musician is a bigger deal than superstar concerts.The City Winery model is spreading all over the country PACs are everywhere Old theaters in relatively small cities and towns are being renovated into community theaters that mix concerts with other cultural events There are so many of these venues in my area that I can t keep track of them all Meanwhile, I almost never go to an arena concert, and never ever go to a stadium, not with all the other choices I have not worth the hassle or cost This is a golden age for concert goers, and that has nothing at all to do with superstar performers.Krueger discusses literally none of this He devotes just about a whole chapter to music in China, but says absolutely nothing about the grass roots live music scene that is ubiquitous in America, still the largest market in the world Put together a Leontief input output model hardcore economics again I got to study and work a little with Nobel winner Leontief back in the day of the club scene, showing how music radiates out into various areas of the economy via tourism, food service, transportation, fashion, etc., and this is a huge, possibly dominant segment of the industry that gets no attention in this book.I have one other problem with the superstar model My older daughter was in youth theater, went to college for drama, and my younger daughter was an elite youth soccer player, now playing in college Their dreams were winning Oscars and Olympic gold But therealistic goal was easier to envision all their teachers, coaches, trainers, choreographers, etc., their dream was Oscar and gold too, but they found productive lives within the economy in their areas of greatest passion at other levels There isto the music industry than U2, Springsteen, and Taylor Swift So muchthat the superstar model actually fails, except at the tabloid level where a high school drama teacher and club soccer coach aren t going to compete with Bruno Mars.Nevertheless, there is much to like about Rockonomics I especially like the sidebar interviews with industry players And I like that much of the analysis was backed up by empirical evidence and not just anecdotal evidence although the anecdotes are a lot fun anyway There is a high probability that my critique is unique to me and yet, none of my critiques diminish what is here, I only wish there wasHopefully there are economists out there ready to build on what Krueger has started I loved loved loved Rockonomics, it makes my heart break that Alan Krueger will not live to see the success this book is guaranteed to have with the general public.Yes, it s an exaggeration to say you will learn economics from this But if you re a loser like me, who knows the economics and wants to find out about the music industry, you re in for a treat The author was basically friends with all these people who work in music and they told him how their industry works.The summary is as follows I loved loved loved Rockonomics, it makes my heart break that Alan Krueger will not live to see the success this book is guaranteed to have with the general public.Yes, it s an exaggeration to say you will learn economics from this But if you re a loser like me, who knows the economics and wants to find out about the music industry, you re in for a treat The author was basically friends with all these people who work in music and they told him how their industry works.The summary is as follows it pays nothing, except to literally a handful of artists, who benefit from two facts that make this a superstar market first, scale you can reach many people and second they are unique they would regardless be financially better off as superstars in any other business you care to name, because for the benefits it gives us, music is dirt cheap music is totally insignificant as an industry both in terms of total income generated USD 15 billion per annum in the US and comfortably under 50 worldwide and in terms of percent of population employedthan half the money is made from live performances, because recorded music CDs, downloads and streaming, these days brings very little compared to what it did before music became digital and is often a loss leader Apple, for example, uses it to sell gadgets studios bet on artists, but not even two out of ten albums produced ever made money pundits thought the new technology would make it so the market for music would become less concentrated anddiversified and the shape of the distribution would tilt away from superstars p 93 we re still waiting that s because to succeed, you of course need talent, determination etc but chiefly you need luck you need luck, because success in music has always been impossible in the absence of large snowball effects and music these days spreads through social media, which are all about measuring these snowball effects in real time and jumping on them should you get lucky enough to score a hit, you need a manager to negotiate with the studios and to keep your costs down and maybe even to get you a bunch of revenue streams on top of your live performance revenues, to price discriminate among your fans, to sell some merch short for merchandise etc you ll need a lawyer to negotiate your rights, which by the way are very complicated and uneven from country to country and from medium to medium within each country intellectual rights to music are justified on the basis of threeor less sound economic arguments, but Krueger actually says fairness and justice for the people who make the music is an even bigger reason to give them the rights to music they d probably make for free and in the absence of any copyright laws that said, copyright laws do result inand better music and there are economic studies to prove this the converse also holds, with very little music of note coming out of countries that do not protect musicians who is Drake and why have I never heard of him China the only boring chapter But it ain t about that at all I m doing the book a grand disservice by merely listing the main points, because Rockonomics actually isn t about these points Rather, they are the background noise the author s hyperactive brain is making as he s taking you on tour That s what s going on here As you re reading it you re basically touring the music industry alongside Alan Krueger, interviewing all these artists who are his friends and jumping from cool trivia to cool observation.Comfortably the best part is trying to identify song titles in the text It s highly possible that every line in the book is plucked from a song My rather obvious favorite is on page 170 Won t spoil it for you Rockonomics is a somewhat frustrating read, a potentially excellent idea that isn t executed as adeptly as it could be and ultimately falls a little flat It might sound strange to say this about a book by a Princeton economics professor on the financial underpinnings of the music industry, but it s major failing is that it focuses too much on the inner machinations of the music business at the expense of in depth economic analysis In the haste to make the financial and economic elements of Rockonomics is a somewhat frustrating read, a potentially excellent idea that isn t executed as adeptly as it could be and ultimately falls a little flat It might sound strange to say this about a book by a Princeton economics professor on the financial underpinnings of the music industry, but it s major failing is that it focuses too much on the inner machinations of the music business at the expense of in depth economic analysis In the haste to make the financial and economic elements of Rockonomics as accessible as possible to a non academic audience, the author Professor Alan Krueger appears to have sacrificed some intellectual heft Rockonomics sets out to be an exercise in storytelling, an attempt to make apparently complex forces of market economics and globalisation relatable by refracting them through the prism of popular music Krueger s central argument is that how the music industry is structured can increasingly be seen as a metaphor for America s unequal society, with a tiny elite of obscenely wealthy performers at the apex of a pyramid whose lower levels are comprised of jobbing musicians barely scraping a living It is Krueger s contention that elite musicians like Drake and Taylor Swift occupy a similar stratum to the 1% ers who are so frequently decried by the progressive left In fact, Krueger sees the unequal nature of showbusiness and the music industry throughout the 20th century as being a precursor to contemporary income inequality in wider society as he writes, given the financial struggles of middle class families and the growing gap between the wealthy and everyone else the US jobs market has become a superstar winner takes all affair, much like the music industry.Krueger has packed Rockonomics full of ideas Too many of them, perhaps He has a tendency to alight on a fascinating insight, such as how economic forces are compelling bands to have fewer members, or how the economic incentives inherent in streaming services like Spotify are changing the very structure of contemporary music with songs increasingly being frontloaded with hooks and choruses in the first 30 seconds for fear the inattentive listener will skip to the next track But, before he can really flesh out and develop these ideas, Krueger will have flitted off to discuss the burgeoning music industry in China, or the changing nature of intellectual copyright in a digital world One of the most intriguing arguments that Robert Krueger posits is that music industry particularly after the advent of Napster and file sharing at the turn of the century has served as a laboratory for the kind of digital innovation and creative destruction that was latter absorbed by the rest of the economy Innovations like streaming, the destruction of physical formats, the upending of traditional modes of manufacturing and distribution happened to the record industry first, and can now be seen replicated in everything from Netflix to the death of high street retail in the face of e commerce But, in a way this represents the problem with Rockonomics this latter contention could have made a fine book in itself, but Krueger dispenses with the argument within a page or two before swiftly moving on to another subject A further irritation with Rockonomics is that Krueger s financial analysis of the record business is interspersed with interviews with figures from across the industry Unfortunately, few of these interviews such as those with a member of Tom Petty s Heartbreakers or with long forgotten 1980s pop starlet Gloria Estefan are really illuminating and instead smack of a publisher s request to break up the dry financial explorations with human interest stories This encapsulates the major flaw of Rockonomics by not having confidence that the reader will be willing or capable of following the author into the deep economic weeds, it results in a book that is farfitful and superficial than it should have been Sadly, Rockonomics represents a missed opportunity Alan Kruger passed away earlier this year He was a prolific and widely cited Princeton economist I was most familiar with his research on minimum wage laws and their effects, but he was active in many areas Then I heard about this book, on the economics of the music business Anyone seriously interested in the music business, especially since Napster, will likely learn much from this book and will miss Alan Krueger after reading it.The rap on economics research applied to business is that i Alan Kruger passed away earlier this year He was a prolific and widely cited Princeton economist I was most familiar with his research on minimum wage laws and their effects, but he was active in many areas Then I heard about this book, on the economics of the music business Anyone seriously interested in the music business, especially since Napster, will likely learn much from this book and will miss Alan Krueger after reading it.The rap on economics research applied to business is that it is too global or macro and also much to abstract and driven by statistics and data Since the publication of books like Freakonomics, that provide solid and incisive economic analysis on real life problems and situations Unfortunately, the supply of accessible books on businesses that provideanalysis and insight than sales pitch and war stories has not kept up with the demand.This is especially the case for industry studies, which examine entire related areas of business Such analyses inform about what anyone in a business is trying to do and what businesses in a given industry or sector need to do in order to succeed even at a modest level Industry studies provide the broad set of institutions and rules within which any firm, even a great one, must operate in order to excel and beat its competitors The industry is the larger set of activities and actors that make a business possible at all Understanding the industry is key to knowing how anyone gets to make money in a given area This is especially true for popularly accessible areas like music that affect everybody in a wide variety of ways Seriously, how many people have entertained the thought of being a musical performer at some time in their lives and how many people know of others trying to pursue such a career Few of us know people who have really succeeded in spite of the long odds.There have been lots of popular books detailing the current state of the music or related pop culture businesses These books describe recent developments, include case studies of individuals, and sometimes even collect some data or quote someone who does Very few of these books do a good job at explaining how the music business works in terms that can be used to explain a variety of industries and professions The variation in experiences is wide, data are scarce, and the extreme examples are already well known through the media.Krueger s extraordinary book looks at the music business through the conceptual frameworks of a top economist and adds to that some significant data analysis of important data bases and interviews with real industry players There are also lots of references for those wishing to readBefore looking for other books, however, the reader will need to digest the feast that Krueger provides This is a well written, eye opening, and informative book, although some niche areas in the music business receive muchattention than others.Krueger s book is organized around seven general economic concept areas that he revisits as needed in his chapters These include supply and demand, scale and non substitutability, the role of luck, complementarities, price discrimination, costs, and non monetary values These ideas are developed in eleven chapters, nearly all of which feature some extended interviews as well as the analysis The book has a nice set of photos of major stars and even has an appendix on the analyses of the Pollstar database reported in the book.I rated the book a 4 but could have easily chosen a 5 instead Whether I change will depend on how the analysis seems after I think on it a bitSo I amat a 4.5 right now If you are a music geek fan or if you want to knowabout music industry this a book for you If you aren tthink twice. *Epub ⇲ Rockonomics: A Backstage Tour of What the Music Industry Can Teach Us about Economics and Life ⇰ Alan Krueger, a former chairman of the president s Council of Economic Advisers, uses the music industry, from superstar artists to music executives, from managers to promoters, as a way in to explain key principles of economics, and the forces shaping our economic livesThe music industry is a leading indicator of today s economy it is among the first to be disrupted by the latest wave of technology, and examining the ins and outs of how musicians create and sell new songs and plan concert tours offers valuable lessons for what is in store for businesses and employees in other industries that are struggling to adaptDrawing on interviews with leading band members, music executives, managers, promoters, and using the latest data on revenues, royalties, streaming tour dates, and merchandise sales, Rockonomics takes readers backstage to show how the music industry really works who makes money and how much, and how the economics of the music industry has undergone a radical transformation during recent decadesBefore digitalization and the ability to stream music over the Internet, rock stars made much of their income from record sales Today, income from selling songs has plummeted, even for superstars like James Taylor and Taylor Swift The real money nowadays is derived from concert sales In , for example, Billy Joel earnedmillion from his live performances, and less thanmillion from record sales and streaming Even Paul McCartney, who has written and recorded number one songs than anyone in music history, today, earnspercent of his income from live concerts Krueger tackles commonly asked questions How does a song become popular And how does a new artist break out in today s winner take all economy How can musicians and everyday workers earn a living in the digital economy Alan Krugers last book is indeed a doozy it answers pretty much every question one might have about the Economics of the music industry and how it relates to the overall trends our economy has been facing for the past few decades.Of Primary intrest is how artists and producers has adapted to the rise of streaming mostly by touring a lot , the winner take all nature of the music industry which parallels the trend in our society for the widening of the wealth Income inequality , the importance Alan Krugers last book is indeed a doozy it answers pretty much every question one might have about the Economics of the music industry and how it relates to the overall trends our economy has been facing for the past few decades.Of Primary intrest is how artists and producers has adapted to the rise of streaming mostly by touring a lot , the winner take all nature of the music industry which parallels the trend in our society for the widening of the wealth Income inequality , the importance of luck in success, the importance of intellectual property rights in the creation of music and how they sometimes go too far , and the unique pricing mechanics for ticketing where of great interest to myself.The book is also filled withthan a few fun econ nuggets of information that are of interest Like, did you know that since the 1990 s that the price of live shows has grown at a faster rate than the cost of Healthcare in America Did you know that on average we only spend 10 cents a day on music How about that the amount we spend on music is less than we spend on potato chips That kind of stuff makes this book well worth reading It s a real tragedy that Alan Kruger is no longer with us Economics has lost a truly gifted mind.I recommend anyone interested to check it out if they get the chance This is an information packed book that provides a fascinating look into the music industry which the author refers to as a winner takes all marketplace By the end of the book, one can not help but agree with him The facts are continuous There is not one copyright on music there are two An artist is paid differently for music on Youtube, Spotify, vinyl, in a commercial, on Spotify and on Satellite radio These and other facts are laid out in a clear and compelling way.The book has to be This is an information packed book that provides a fascinating look into the music industry which the author refers to as a winner takes all marketplace By the end of the book, one can not help but agree with him The facts are continuous There is not one copyright on music there are two An artist is paid differently for music on Youtube, Spotify, vinyl, in a commercial, on Spotify and on Satellite radio These and other facts are laid out in a clear and compelling way.The book has to be read in chunks, or at least I found it to be necessary All book with a full chapter of endnotes and 10 pages on methodology should be imbibed in chunks, just to keep your sanity The coverage of the industry is fascinating and every page, just about, provides some new and different fact that changes your perspective For example, China has just relaxed its rules to allow people who attend a concert to stand and dance..but only if they stand on their seats