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Monday, July 26, 2004

Music in the Digital Era - Using Econometrics to Model via emigroup

This paper is attempting to model statistically and quantify the music business, modeling rigorously the various determinants of CD sales, investigating, using state-of-the-art econometric techniques,the likely reaction of music consumers to new, legitimate on-line musicservices. The paper captures the trends and shifts in the music industry and evaluates the market impact of alternative strategies in the legitimate on-line world. The model correalates among other things music industry's growth with increased braodband penetration. GDP growth and more importantly arrives at an inflection point around 2004 for a major take-off of the digital music world. Interesting read.
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