Music Product as a Durable Good and Online Piracy
AbstractMusic is typical experience good and the formats in which music is available; for example, CDs and cassettes or downloaded files are durable in nature. Using these two typical characteristics of the 'music product', in this paper, we develop an analytical framework to study the economic implications of online music piracy. We show that for the legitimate music producer, protection against piracy may not always be the best option; the decision on the degree of limiting piracy depends on the extent of the informational value of music downloads and the quality of the downloaded music
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Bibliographic InfoPaper provided by Econometric Society in its series Econometric Society 2004 Australasian Meetings with number 365.
Date of creation: 11 Aug 2004
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Durable good; Experience good; Downloading; File-sharing; Informational Externality; Copyright protection;
Find related papers by JEL classification:
- L12 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Monopoly; Monopolization Strategies
- L68 - Industrial Organization - - Industry Studies: Manufacturing - - - Appliances; Furniture; Other Consumer Durables
- L82 - Industrial Organization - - Industry Studies: Services - - - Entertainment; Media
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- Peitz, Martin & Waelbroeck, Patrick, 2006. "Piracy of digital products: A critical review of the theoretical literature," Information Economics and Policy, Elsevier, vol. 18(4), pages 449-476, November.
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