I actually prefer events that aren't clear-cut which are the better choices.

i.e. in your song event these effects could also result:

Choice: Follow the song.
Effect: Villager finds a mermaid sitting on a rock. He/she is entranced by the song, and follows the mermaid when she dives into the water. Walks out into the water a short distance and stops at a drop-off. The mermaid teaches the villager how to swim like a mermaid and tricks to catching fish. (Villager gains Farming skills as well as adding "ocean" and "swimming" to his/her likes.)

Choice: Stay in the village.
Effect: Villager stays in the village where it is safe, but pines for the song. Villager now dislikes work and likes relaxing.

Sometimes good or bad results could happen no matter what the choice the player/villager made.