Music is known to be a powerful elicitor of emotions. Music with different moods induces various emotions, each of which corresponding to certain pattern of EEG signals. In this paper, based on current music mood categories, we discuss how the music belonging to different mood types affect the pattern EEG activity. We review several literatures verifying that certain characteristics of EEG differ from each other induced by different types of music. Such differences make it possible for emotion recognition through EEG signals. We also introduce some applications of emotional music such as improvement of human emotions and adjuvant treatment of diseases.