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What Limits Indirect Appropriability?

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  • Waldman, Michael

Abstract

One argument concerning copyright protection is that the returns to copyright protection are limited because of indirect appropriability, where indirect appropriability is the idea that original producers receive returns from copying because the buyers of original units are willing to pay more when they can sell copies. This paper argues that indirect appropriability is limited in most real world markets and explores in a series of theoretical models why this is the case.

Suggested Citation

  • Waldman, Michael, 2013. "What Limits Indirect Appropriability?," MPRA Paper 44690, University Library of Munich, Germany.
  • Handle: RePEc:pra:mprapa:44690
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    References listed on IDEAS

    as
    1. Bagnoli, Mark & Salant, Stephen W & Swierzbinski, Joseph E, 1989. "Durable-Goods Monopoly with Discrete Demand," Journal of Political Economy, University of Chicago Press, vol. 97(6), pages 1459-1478, December.
    2. Igal Hendel & Alessandro Lizzeri, 1999. "Interfering with Secondary Markets," RAND Journal of Economics, The RAND Corporation, vol. 30(1), pages 1-21, Spring.
    3. Novos, Ian E & Waldman, Michael, 1984. "The Effects of Increased Copyright Protection: An Analytic Approach," Journal of Political Economy, University of Chicago Press, vol. 92(2), pages 236-246, April.
    4. Anderson, Simon P. & Ginsburgh, Victor A., 1994. "Price discrimination via second-hand markets," European Economic Review, Elsevier, vol. 38(1), pages 23-44, January.
    5. Liebowitz, S J, 1982. "Durability, Market Structure, and New-Used Goods Models," American Economic Review, American Economic Association, vol. 72(4), pages 816-824, September.
    6. Michael Waldman, 2003. "Durable Goods Theory for Real World Markets," Journal of Economic Perspectives, American Economic Association, vol. 17(1), pages 131-154, Winter.
    7. Swan, Peter L, 1980. "Alcoa: The Influence of Recycling on Monopoly Power," Journal of Political Economy, University of Chicago Press, vol. 88(1), pages 76-99, February.
    8. Bulow, Jeremy I, 1982. "Durable-Goods Monopolists," Journal of Political Economy, University of Chicago Press, vol. 90(2), pages 314-332, April.
    9. Hirshleifer, J & Riley, John G, 1979. "The Analytics of Uncertainty and Information-An Expository Survey," Journal of Economic Literature, American Economic Association, vol. 17(4), pages 1375-1421, December.
    10. Liebowitz, S J, 1985. "Copying and Indirect Appropriability: Photocopying of Journals," Journal of Political Economy, University of Chicago Press, vol. 93(5), pages 945-957, October.
    11. Besen, Stanley M & Kirby, Sheila Nataraj, 1989. "Private Copying, Appropriability, and Optimal Copying Royalties," Journal of Law and Economics, University of Chicago Press, vol. 32(2), pages 255-280, October.
    12. Waldman, Michael, 1997. "Eliminating the Market for Secondhand Goods: An Alternative Explanation for Leasing," Journal of Law and Economics, University of Chicago Press, vol. 40(1), pages 61-92, April.
    13. Benjamin, Daniel K & Kormendi, Roger C, 1974. "The Interrelationship between Markets for New and Used Durable Goods," Journal of Law and Economics, University of Chicago Press, vol. 17(2), pages 381-401, October.
    14. Miller, H Laurence, Jr, 1974. "On Killing off the Market for Used Textbooks and the Relationship between Markets for New and Secondhand Goods," Journal of Political Economy, University of Chicago Press, vol. 82(3), pages 612-619, May/June.
    15. Waldman, Michael, 1996. "Durable Goods Pricing When Quality Matters," The Journal of Business, University of Chicago Press, vol. 69(4), pages 489-510, October.
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    More about this item

    Keywords

    copyright; indirect appropriability;

    JEL classification:

    • D40 - Microeconomics - - Market Structure, Pricing, and Design - - - General
    • K0 - Law and Economics - - General

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