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The Impact of Digital File Sharing on the Music Industry: An Empirical Analysis

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  • Michel Norbert J

    ()
    (Nicholls State University)

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    Abstract

    The first file-sharing software, Napster, was shut down in 2001, but the copying technology’s impact on the music industry is still passionately debated. This paper uses micro-level data from the Consumer Expenditure Survey to examine the impact of Internet file sharing on music sales. Music industry representatives argue that the practice decreases CD sales, while supporters of file-sharing allege the practice could actually increase sales. Using household-level data from the Consumer Expenditure Survey, we find support for the claim that file-sharing has decreased sales.

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    File URL: http://www.degruyter.com/view/j/bejeap.2006.6.1/bejeap.2006.6.1.1549/bejeap.2006.6.1.1549.xml?format=INT
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    Bibliographic Info

    Article provided by De Gruyter in its journal The B.E. Journal of Economic Analysis & Policy.

    Volume (Year): 6 (2006)
    Issue (Month): 1 (September)
    Pages: 1-24

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    Handle: RePEc:bpj:bejeap:v:topics.6:y:2006:i:1:n:18

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    Cited by:
    1. Morris, Robert G. & Higgins, George E., 2010. "Criminological theory in the digital age: The case of social learning theory and digital piracy," Journal of Criminal Justice, Elsevier, vol. 38(4), pages 470-480, July.
    2. Cox, Joe & Collins, Alan & Drinkwater, Stephen, 2010. "Seeders, leechers and social norms: Evidence from the market for illicit digital downloading," Information Economics and Policy, Elsevier, vol. 22(4), pages 299-305, December.
    3. Juan Montoro Pons & Manuel Cuadrado García, 2008. "Legal origin and intellectual property rights: an empirical study in the prerecorded music sector," European Journal of Law and Economics, Springer, vol. 26(2), pages 153-173, October.
    4. Zentner, Alejandro, 2008. "Online sales, Internet use, file sharing, and the decline of retail music specialty stores," Information Economics and Policy, Elsevier, vol. 20(3), pages 288-300, September.
    5. Joel Waldfogel, 2012. "Music Piracy and Its Effects on Demand, Supply, and Welfare," NBER Chapters, in: Innovation Policy and the Economy, Volume 12, pages 91-109 National Bureau of Economic Research, Inc.
    6. Bacache-Beauvallet, Maya & Bourreau, Marc & Moreau, François, 2011. "Portrait des musiciens à l'heure du numérique," Opuscules du CEPREMAP, CEPREMAP, number 22, May.

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