[p2p-research] Fwd: [fcf_discussion] Piracy and job losses in the EU

[Michel Bauwens]

---------- Forwarded message ----------
From: david at davidhammerstein.org <david at davidhammerstein.org>
Date: Mon, Mar 22, 2010 at 5:28 AM
Subject: [fcf_discussion] Piracy and job losses in the EU
To: IP wg <ip at tacd.org>, fcforum_discussion at list.fcforum.net


 *JOB LOSSES IN EUROPE AND " ILLEGAL DOWNLOADS": MYTHS AND REALITY*

1. * IT IS GROSSLY FALSE TO DIRECTLY RELATE THE NUMBER OF PIRATED DOWNLOADS
WITH JOB LOSSES IN EUROPE.  *
**
  Studies that blame Internet downloads for massive job losses reflect a
very faulty methodology put forward  by the US Motion Picture Association
that has already been discredited by serious social science studies such as
those carried out over a period of three years in seven countries by the
Social Science Research Center of New York. European jobs have not been lost
due to "piracy".  Industry financed studies that simply add up the number of
downloads and conclude that a scandalous number of EU jobs are lost lack any
serious objective scientific consideration of the economy and of consumer
spending as a whole.

2. *DIGITAL PIRACY "REASSIGNS" ECONOMIC CONSUMPTION WITHOUT CAUSING A NET
ECONOMIC LOSS TO ECONOMY.*

 Downloading cultural material means money is spent  instead in other areas
such as housing, food and services rather than on buying CDs.  The
alternative expenditures could be more job creating, more productive and
more socially valuable than spending on digital entertainment materials.
There can even be a social benefit to spending less on digital entertainment
and more on other goods. As well, both less money being spent on digital
entertainment and more downloading can often mean more money spent on live
performances and theater which benefits performers and creators more
directly.

3 *THE IMPACT OF DOWNLEADING ON THE EU IS LESS BECAUSE 80% OF EUROPEAN FILM
ENTERTAINMENT MATERIAL AND SOFTWARE IS IMPORTED FROM THE US.*

 It can even be argued that diverting this spending to other goods
generally made in the EU has a net benefit for the European economy and for
the net creation of jobs. For example, a Dutch Government study suggests
that music piracy has had a clear net positive impact on economic welfare in
Netherlands. The supporters of the false studies on piracy should ask
themselves if they are really defending European interests.

4. *THE DIGITAL AGE POSES A REAL CHALLENGE TO A NUMBER OF EXISTING
INDUSTRIAL *MODELS.

It is very true that certain industries have been hurt by the multiple
effects of Internet.  These companies need to reconvert and adapt their
industrial structures to the new realities instead of trying to change the
digital reality by means of new legislative and repressive measures. New
business models needed to be moulded for the digital age that respect
fundamental rights,  that  strengthen citizens´ confidence  and  that
promote cultural innovation.

David Hammerstein, Transatlantic Consumer Dialogue



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