Vinyl+records+spin+back+into+vogue

= Title of Article: Vinyl records spin back into vogue  = = Source: http://www.usatoday.com/money/industries/retail/2011-02-25-vinyl25_ST_N.htm  = = Date: February 27, 2011  = = = = Explanation: In this article, it has been stated that vinyl records are making a huge comeback in music sales. They were the fastest-growing musical format last year and are continuing to become more popular. Therefore, vinyl record albums have recently seen a huge shift in demand. One of the determinants of demand in this article is the utility of the consumer. The people who buy vinyl records think that they are visually appealing, enjoy the high sound quality, or just enjoy collecting vinyl records. Also, because of the increase in demand, stores are beginning to increase the supply of vinyl records and also the supply and demand for record players. More people want vinyl records now, therefore stores will have to increase the supply of vinyl records to meet the demand. Vinyl records and record players are complementary goods, so the demand of record players rises as demand for vinyl records rises. = = = = Vocabulary: = = · Demand - desire of consumers for a certain good or service  = = · Determinants of demand – factor that affects the demand for a good or service  = = · Utility – the measure of usefulness or pleasure of buying a good or service  = = · Supply – The amount of a good or service that is offered for sale  = = · Complementary goods – A good with negative cross elasticity of demand, where a good’s demand is increased when the price of another good is decreased  = = = =In this graph, it shows that demand of vinyl record players have risen because it is a complementary good with vinyl records. = = = =As the demand for vinyl records rises, so do the record players. = = =


 * Evaluation:** I, as an economist, agree with this article. I think it is good that stores selling vinyl records are paying attention to its increase in sales by beginning to provide a larger supply of vinyl records and are starting to sell record players to go along with the records. I think it is also good that big brand stores, such as Best Buy, are beginning to sell vinyl records. More people go to these stores, which would mean these records might sell better than in another store. It is not stated in the article, but I think because of the increase in demand of vinyl records, it may mean that the overall sales for music will have increased. This is because vinyl records are normally more expensive than a digital download or a CD. This is good for the musicians who make the music, and the companies that distribute the music, because they are gaining more sales.