I doubt money from used cd sales make it back to the artists. This weighs on me because there are truly some great musicians out there that need to be compensated for their dedication, creativity, and hard work.

You are correct, money for used CD sales does not make it back to artists or the publishing and copyright holders, but prcident has been set in the courts that they are not actually entitled to royalties on the re-sale of a properly licensed product. The license transfers with the original product. So long as a new work is not created (what we often refer to as a copy).

On your topic, my gut tells me that while you are probably correct in assuming used CD sales has caused some decrease in the purchase of new products, I would also assume that the Video Game and DVD markets, maybe even the massive restuarant expansion in the U.S. (as well as other enetertainment expenses that have gained strength) have caused more market share loss than the used CD market at this point.

Take Care,

Dani