So says the NYT. Despite the recent high-profile counter-example, fees paid by magazine for candid celebrity shots are declining:

Gary Morgan, co-owner of Splash News, a photo agency that specializes in paparazzi photographs, said that a typical picture that garnered $30,000 last year would sell for around $15,000 this year.

"Prices are coming down. The heyday was last year and the year before," he said. There are now more magazines, more photographers - he estimates that almost 150 paparazzi are working in Los Angeles this year, up from 80 last year and 20 a decade ago - and more photos being taken. "Because there is so much volume, that naturally drives the prices down," he said, adding that prices at the top of the celebrity food chain are still climbing.

That's supply and demand for you. Maybe Los Angeles should issue licenses, like they do for duck-hunting.