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Economic Effects of the New German Copyright Contract Law

Author

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  • Christian Jansen

    (Humboldt-University of Berlin)

Abstract

This paper investigates some economic effects of recent amendments to the German Copyright Law on the German film industry. The changes assume the existence of a prevailing “structural superiority” of media companies over their contractual partners in labor markets which supposedly results in “unfair” contracts. We provide an economic approach to the matter. First, we consider potential effects and the plausibility of a “structural superiority” in terms of buyer power in the German film industry. Second, we consider how the new law affects risk allocation, incentives, transaction costs, and legal certainty in the business.

Suggested Citation

  • Christian Jansen, 2003. "Economic Effects of the New German Copyright Contract Law," Law and Economics 0302003, EconWPA.
  • Handle: RePEc:wpa:wuwple:0302003
    Note: Type of Document - pdf; prepared on PC; pages: 38
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    File URL: http://econwpa.repec.org/eps/le/papers/0302/0302003.pdf
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    References listed on IDEAS

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    1. Weinstein, Mark, 1998. "Profit-Sharing Contracts in Hollywood: Evolution and Analysis," The Journal of Legal Studies, University of Chicago Press, vol. 27(1), pages 67-112, January.
    2. Karp, Larry S. & Perloff, Jeffery M., 1993. "Legal requirements that artists receive resale royalties," International Review of Law and Economics, Elsevier, vol. 13(2), pages 163-177, June.
    3. Clark, Andrew, 1990. "Efficient Bargains and the McDonald-Solow Conjecture," Journal of Labor Economics, University of Chicago Press, vol. 8(4), pages 502-528, October.
    4. Brown, James N & Ashenfelter, Orley, 1986. "Testing the Efficiency of Employment Contracts," Journal of Political Economy, University of Chicago Press, vol. 94(3), pages 40-87, June.
    5. De Vany, A. & Walls, W.D., 1999. ""Uncertainty in the Movies: Does Star Power Reduce the Terror of the Box Office?"," Papers 98-99-10, California Irvine - School of Social Sciences.
    6. McDonald, Ian M & Solow, Robert M, 1981. "Wage Bargaining and Employment," American Economic Review, American Economic Association, vol. 71(5), pages 896-908, December.
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    8. Creedy, John & McDonald, Ian M, 1991. "Models of Trade Union Behaviour: A Synthesis," The Economic Record, The Economic Society of Australia, vol. 67(199), pages 346-359, December.
    9. MaCurdy, Thomas E & Pencavel, John H, 1986. "Testing between Competing Models of Wage and Employment Determination in Unionized Markets," Journal of Political Economy, University of Chicago Press, vol. 94(3), pages 3-39, June.
    10. Huck, Steffen & Normann, Hans-Theo & Oechssler, Jorg, 2004. "Two are few and four are many: number effects in experimental oligopolies," Journal of Economic Behavior & Organization, Elsevier, vol. 53(4), pages 435-446, April.
    11. Coase, Ronald H, 1972. "Durability and Monopoly," Journal of Law and Economics, University of Chicago Press, vol. 15(1), pages 143-149, April.
    12. Manning, Alan, 1987. "An Integration of Trade Union Models in a Sequential Bargaining Framework," Economic Journal, Royal Economic Society, vol. 97(385), pages 121-139, March.
    13. Oswald, Andrew J, 1982. "The Microeconomic Theory of the Trade Union," Economic Journal, Royal Economic Society, vol. 92(367), pages 576-595, September.
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    More about this item

    Keywords

    German film industry; copyright law; law and economics;

    JEL classification:

    • L82 - Industrial Organization - - Industry Studies: Services - - - Entertainment; Media
    • K12 - Law and Economics - - Basic Areas of Law - - - Contract Law

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