IPR Protection in the High-Tech Industries: A Model of Piracy
University of Bristol Working Paper in Economics No. 06/593
59 Pages Posted: 19 Mar 2009 Last revised: 4 Jul 2014
Date Written: August 1, 2006
This article investigates the relation between the level of publicness of digital goods - i.e. their degree of non-excludability and non-rivalness - and the pirating behaviour of the consumers. The main focus is put on the difference between the ex-ante level of publicness - determined by the anti-piracy strategies of the firms - and the ex-post level of publicness - which is a consequence of external factors such as the consumers' network structure, the consumers' sharing behaviour, etc. The two models developed in the article detail the required conditions for anti-piracy strategies to be successful and show the influence of the economic environment on these conditions.
Keywords: Digital goods, Piracy, Public goods, Free-riding, Intellectual Property Rights
JEL Classification: D11, C72, L82, L86, O34
Suggested Citation: Suggested Citation