Barker (2012c)

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Advertising Architectural Publishing of books, periodicals and other publishing Programming and broadcasting Computer programming Computer consultancy Creative, arts and entertainment Cultural education

Film and motion pictures Sound recording and music publishing Photographic activities PR and communication Software publishing (including video games) Specialised design Television programmes Translation and interpretation

1. Relationship between protection (subject matter/term/scope) and supply/economic development/growth/welfare 2. Relationship between creative process and protection - what motivates creators (e.g. attribution; control; remuneration; time allocation)? 3. Harmony of interest assumption between authors and publishers (creators and producers/investors) 4. Effects of protection on industry structure (e.g. oligopolies; competition; economics of superstars; business models; technology adoption) 5. Understanding consumption/use (e.g. determinants of unlawful behaviour; user-generated content; social media)

A. Nature and Scope of exclusive rights (hyperlinking/browsing; reproduction right) B. Exceptions (distinguish innovation and public policy purposes; open-ended/closed list; commercial/non-commercial distinction) C. Mass digitisation/orphan works (non-use; extended collective licensing) D. Licensing and Business models (collecting societies; meta data; exchanges/hubs; windowing; crossborder availability) E. Fair remuneration (levies; copyright contracts) F. Enforcement (quantifying infringement; criminal sanctions; intermediary liability; graduated response; litigation and court data; commercial/non-commercial distinction; education and awareness)

Source Details

Barker (2012c)
Title: Evidence of the effect of free music downloads on the purchase of music CDs in Canada
Author(s): Barker, G. R.
Year: 2013
Citation: Barker, G. R. (2012). Evidence of the effect of free music downloads on the purchase of music CDs in Canada. Review of Economic Research on Copyright Issues, 9(2), 55-78.
Link(s): Definitive , Open Access
Key Related Studies:
Discipline:
Linked by:
About the Data
Data Description: Telephone interviews with 2,100 randomly selected Canadians (15 years and older) across the country between April and June 2006 — 1,000 who downloaded music files over the Internet and 1,100 who did not.
Data Type: Primary data
Secondary Data Sources:
Data Collection Methods:
Data Analysis Methods:
Industry(ies):
Country(ies):
Cross Country Study?: No
Comparative Study?: Yes
Literature review?: No
Government or policy study?: No
Time Period(s) of Collection:
  • 2006
Funder(s):
  • Industry Canada

Abstract

This paper examines data on the effects of Internet peer-to peer (P2P) file sharing activities on music purchasing. The data was obtained from a survey commissioned by Industry Canada to “inform Industry Canada’s policy development work” regarding copyright law reform in Canada. The paper focuses on an important survey question which has not yet been analysed. Analysis of survey responses suggests that P2Pfile-sharing is a substitute for legitimate music purchases and has strong negative effects on legitimate music purchases. This contradicts the results of earlier analysis of the data commissioned by Industry Canada first published on Industry Canada’s website in 2007 (Andersen and Frenz, 2007), and then subsequently revised and republished as Andersen and Frenz (2010).

Main Results of the Study

  • Contrary to Andersen and Frenz’s claims, these study’s results suggest that if music were not available on P2P networks, respondents would buy a significant positive percentage of the downloaded music no longer available.
  • This in turn suggests the technical problems outlined earlier with the methodology used by AF in their statistical analysis of cross sectional data on the activity question responses may be biasing their results.
  • The survey on which this study is based clearly supports the view that stronger copyright laws that effectively reduce and deter free P2P music file-sharing would tend to increase music purchasing and music industry sales and, by implication, increase artist revenues and industry employment and contribute to both economic growth and higher government tax revenues.
  • Whereas weaker copyright laws reduce music purchases, music industry sales, artist revenues, industry employment, GDP and government tax revenues.

Policy Implications as Stated By Author

Stronger copyright laws that effectively reduce and deter free P2P music file-sharing would tend to increase music purchasing and music industry sales and, by implication, increase artist revenues and industry employment and contribute to both economic growth and higher government tax revenues.

Coverage of Study

Coverage of Fundamental Issues
Issue Included within Study
Relationship between protection (subject matter/term/scope) and supply/economic development/growth/welfare
Relationship between creative process and protection - what motivates creators (e.g. attribution; control; remuneration; time allocation)?
Harmony of interest assumption between authors and publishers (creators and producers/investors)
Effects of protection on industry structure (e.g. oligopolies; competition; economics of superstars; business models; technology adoption)
Green-tick.png
Understanding consumption/use (e.g. determinants of unlawful behaviour; user-generated content; social media)
Green-tick.png
Coverage of Evidence Based Policies
Issue Included within Study
Nature and Scope of exclusive rights (hyperlinking/browsing; reproduction right)
Green-tick.png
Exceptions (distinguish innovation and public policy purposes; open-ended/closed list; commercial/non-commercial distinction)
Mass digitisation/orphan works (non-use; extended collective licensing)
Licensing and Business models (collecting societies; meta data; exchanges/hubs; windowing; crossborder availability)
Fair remuneration (levies; copyright contracts)
Enforcement (quantifying infringement; criminal sanctions; intermediary liability; graduated response; litigation and court data; commercial/non-commercial distinction; education and awareness)
Green-tick.png

Datasets

Sample size: 2,100
Level of aggregation: Individual
Period of material under study: 2006