The Federal Trade Commission is investigating whether musical instrument manufacturers are illegally blocking retailers from discounting their ware. Fender, Gibson, Yamaha and Guitar Center retailers are under scrutiny.

I am a guitar nut. Some new Les Pauls are selling for nearly $3,000. There is probably less than $200 worth of parts and maybe that much again in labor to make one of these. I have no problem with them selling them for as much as the market will bear. I am happy with my Ibanez Artist which I bought for $600.

The issue is important for the big stores with inventory who would have to compete with online retailers without the overhead.

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