Digital Piracy: Theory

Paul Belleflamme and Martin Peitz

No 3222, CESifo Working Paper Series from CESifo

Abstract: This article reviews recent theoretical contributions on digital piracy. It starts by elaborating on the reasons for intellectual property protection, by reporting a few facts about copyright protection, and by examining reasons to become a digital pirate. Next, it provides an exploration of the consequences of digital piracy, using a base model and several extensions (with consumer sampling, network effects, and indirect appropriation). A closer look at market-structure implications of end-user piracy is then taken. After a brief review of commercial piracy, additional legal and private responses to end-user piracy are considered. Finally, a quick look at emerging new business models is taken.

Keywords: information good; piracy; copyright; IP protection; internet; peer-to-peer; software; music (search for similar items in EconPapers)
JEL-codes: L11 L82 L86 (search for similar items in EconPapers)
Date: 2010
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (16)

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Working Paper: Digital piracy: theory (2010)
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