Tag Archives: Money

Where has all the money in the world gone? →


Now, what happens if another wildfire hits your orchard? Those twelve loddars are destroyed, they are gone, the shoe-maker is twelve loddars poorer, without spending it and without anyone else getting twelve loddars richer.
The money that bought your deer and my shoes has simply vanished from the economy, as though it never existed, despite the fact that it bought stuff with genuine economic utility and value.

Reddit user otherwiseyep explains in great details and easy to understand how the monetary and financial system works.

Is Spotify fair?

Ever since Spotify started there is a lot of discussion wether it is fair or not. I just found an article (German), that claims Spotify pays 0,41 cents per streamed song to the music industry. According to my last.fm profile I have listened to 218,380 songs since March 18 2006. If I would have listened to all these songs in the last six years on Spotify, Spotify would have paid 895.36 Euros to the music industry. That would be approximately 12 Euros per month.

At first sight this number seems quite low, but when we talk about All You Can Listen services we can not compare it with the number I would have spent if I had bought all the records I listened to in the last years, but rather how much I actually spent on buying music records. (How much money did the restaurant industry loose because we cook at home most of the time?) If I quickly look at my CD and record collection, I think that I probably spent 20 Euros per month on buying music. Of course, in some month I spent 100 and then there were times where I didn’t buy a record for six months. I think it is safe to assume that I spend a little less on buying records since I started subscribing to Spotify. In the firsts three month of 2012 I spent about 25 Euros on music. When I add the Spotify subscription fee 10 Euros/month that would be about 20 Euros per month.

You maybe think 20 Euros per month for music is low, however you should consider that for the most of the last six years I was a student. If you add budgets for concerts, apps, cloth, books and movies you quickly reach the amount I can spend per month on fun stuff. Sure, I could cut back on beer and cigarettes, but, …. Nevermind.