The average price people choose to pay for albums at Magnatune is slowly going down. The chart above shows the past year, with the average price per week having decreased about 40 cents, or 5% in the past year.
The average voluntary price paid in the past 20 days was $7.78 for downloads, and 8.67 for the music on CDs. Note that people pay an average of $1.09 more for music when they're buying a CD.
I'm guessing that this downwards trend is caused by the widening of Magnatune's audience from a core open-source activist audience to a larger mass audience. At least, that's what people have suggested would occur, and it's a plausible answer.
I don't see a problem with the lower per-album prices, since the volume of sales is up, and there is increased competition for online music spending, so people are automatically adjusting what they're willing to pay at Magnatune given the current environment.