On the optimal level of protection in DRM
- Authors
- Ahn, Illtae; Shin, Ilsoon
- Issue Date
- Dec-2010
- Publisher
- ELSEVIER SCIENCE BV
- Keywords
- DRM; DRM-free; Digital products; Optimal level of protection; Copyright enforcement
- Citation
- INFORMATION ECONOMICS AND POLICY, v.22, no.4, pp 341 - 353
- Pages
- 13
- Journal Title
- INFORMATION ECONOMICS AND POLICY
- Volume
- 22
- Number
- 4
- Start Page
- 341
- End Page
- 353
- URI
- https://scholarworks.bwise.kr/cau/handle/2019.sw.cau/22067
- DOI
- 10.1016/j.infoecopol.2010.09.003
- ISSN
- 0167-6245
- Abstract
- We examine the optimal level of Digital Rights Management when stronger DRM makes copyright infringement more difficult, but at the cost of decreased value for legal users. We find that DRM-free is profit-maximizing when copyright enforcement is strong or free-rider problems are severe. Otherwise, DRM is optimal for the firm. Even in the latter case, copyright enforcement and DRM are substitutes, and, thus, stronger copyright enforcement by the government reduces the usage of inefficient DRM. We also find that, although stronger copyright enforcement may raise the price of the legitimate product, consumers often benefit overall due to the decreased use of DRM. (C) 2010 Elsevier B.V. All rights reserved.
- Files in This Item
- There are no files associated with this item.
- Appears in
Collections - College of Business & Economics > School of Economics > 1. Journal Articles
![qrcode](https://api.qrserver.com/v1/create-qr-code/?size=55x55&data=https://scholarworks.bwise.kr/cau/handle/2019.sw.cau/22067)
Items in ScholarWorks are protected by copyright, with all rights reserved, unless otherwise indicated.