At first glance, it may look like Microsoft disabled recording of internal—or “what you hear”—sounds in Windows 7. Well, they didn’t. It’s a little trickier, granted, but this is (often) a quick fix.

To enable it:

1. Right click on the speaker icon in the system tray (bottom right).
2. Choose Recording Devices
3. In the empty white space, right-click and choose Show Disabled Devices. You should see Stereo Mix appear in the list.
4. Right click on Stereo Mix and choose Enable.
5. Right click on Stereo Mix again, and choose Set as Default Device.

Now you can record anything you hear through your speakers.