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Copyright Infringement, Product Quality and Producer's Profit


  • Banerjee Dyuti

    (Department of Economics, Monash University, Australia)

  • Mukherjee Vivekananda

    (Department of Economics, Jadavpur University, India)


This paper uses a strategic entry-deterrence framework to study the relationship between copying cost, and a monopolists profit and product quality. The potential entrant is a fake-producer producing and selling identical copies of the monopolists product. The monopolists subgame perfect equilibrium quality and profit is either unaffected or positively affected by changes in the copying cost. Tariffs on copying devices may be an effective copyright right protection instrument. Though an increase in tariff increases the product quality and monopolists profit, its welfare effects are ambiguous.

Suggested Citation

  • Banerjee Dyuti & Mukherjee Vivekananda, 2007. "Copyright Infringement, Product Quality and Producer's Profit," Review of Law & Economics, De Gruyter, vol. 3(3), pages 793-816, December.
  • Handle: RePEc:bpj:rlecon:v:3:y:2007:i:3:n:8

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    References listed on IDEAS

    1. Shavell, Steven & van Ypersele, Tanguy, 2001. "Rewards versus Intellectual Property Rights," Journal of Law and Economics, University of Chicago Press, vol. 44(2), pages 525-547, October.
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