File-Sharing and Copyright
Source: Harvard Business School Working Papers
The researchers argue that file-sharing technology has not undermined the incentives of artists and entertainment companies to create, market, and distribute new works. The advent of new technology has allowed consumers to copy music, books, video games, and other protected works on an unprecedented scale at minimal cost. Such technology has considerably weakened copyright protection, first of music and software and increasingly of movies, video games, and books. While policy discussion surrounding file-sharing has largely focused on the legality of the new technology and the question of whether declining sales in music are due to file-sharing, the debate has been overly narrow. Copyright protection exists to encourage innovation and the creation of new works—in other words, to promote social welfare. This essay analyzes the landscape and identifies areas for more research. Key concepts include:
- Digital technology has lowered the cost of producing movies and music and allowed artists to reach their audience in novel ways.
- It’s difficult to argue that weaker copyright protection has had a negative impact on artists’ incentives to be creative.
- File-sharing has not discouraged authors and publishers. The publication of new books rose by 66 percent over the 2002-2007 period. Since 2000, the annual release of new albums has more than doubled, and worldwide feature film production since 2003 is up by more than 30 percent.
- How markets for complementary goods (such as concerts, electronics, and communications infrastructure) have responded to file-sharing remains largely unexplored in academic research.
+ Full Paper (PDF; 358 KB)
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on Tuesday, July 14th, 2009 at 8:25 am and is filed under Arts and humanities, Intellectual property, Media and entertainment, Technology.
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