CDR is the most inexpensive medium for saving important digital files. I use it all the time to backup my precious digital pictures and audio files to free up some space on my hard disk. Although I can invest on more hard disk space, it's an expensive approach and not always a reliable option. If you are using Linux and have enough hard disk space for backups, using squashfs can be a good option. Still, saving those files on a CDR will save you from disaster in case the hard disk gets corrupted. I also create backups for my original CD collections so I don't have to worry about my friend damaging my CD in his pathetic player, hehehe.
But as with most data storage like the CDR, life expectancy is a big issue especially if you're archiving important files and audio CDs. So if you don't mind your data vanishing into oblivion after 3 years or you just want to copy the latest Linux distro version release, cheap CDRs are enough to do the job (usually costs around 4 to 8 pesos). For important files such as pictures, audio cds, MP3s/Ogg, codes, documents, I would rather buy branded CDRs like Kodak, Maxell, Verbatim or Taiyo Yuden (very expensive).
The following links provide useful information about CDRs and their durability:
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