Software Pricing and Copyright: Enforcement Against End-Users
27 Pages Posted: 17 Jun 1999
Date Written: May 1999
Abstract
The incentive to copy software depends on publishers' price and monitoring strategy. This paper analyzes how a publisher's strategy depends on the penalty for copyright violation and the cost of copying. It shows that changes in price and monitoring have qualitatively different effects on potential users. Both affect users' choice between copying and buying. Only monitoring reduces the expected benefit of those who copy and affects users' choice between copying and not using. Hence, society should favor dealing with piracy through price rather than monitoring.
JEL Classification: K42, L11, L86
Suggested Citation: Suggested Citation
Png, Ivan P. L. and Chen, Yeh-Ning, Software Pricing and Copyright: Enforcement Against End-Users (May 1999). Available at SSRN: https://ssrn.com/abstract=165228 or http://dx.doi.org/10.2139/ssrn.165228
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