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Intellecutual Property Rights

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Intellectual Property Rights

Intellectual property rights have come to play an important role in developed economies, with arguments for and against these rights. While the focus of this paper will concern itself with the music industry as an example, it is important to first state the economic benefits and costs of intellectual property rights as a whole, as this will be the basis in which one will examine intellectual property rights in the music industry. The main arguments for intellectual property rights include: improved innovation, enhanced wealth and limited dispute over resources, and the promotion of competition and ideas. (Mackaay) The main arguments against Intellectual property rights include: net utility is not achieved, moral and ethical problems of intellectual property rights, higher costs and no evidence of wealth maximization. (Kinsella 1-53), (Perelman)

In general, it was found that intellectual property rights can have a positive or negative effect on economic growth, depending on the environment and situation. (Maskus) Thus, it is important to realize that any discussion and evaluations related to the music industry are not relevant to intellectual property rights as a whole and should not be used as a comparative measure for other industries in general. Also, it is vital to analyze the political aspects of the music industry and its influence on intellectual property rights as it is a contributing factor in the forming the environment which is being analyzing.

Lastly, before introducing an analytical discussion of the economics pertaining to the music industry , it is important to identify the stakeholders within the music industry so that one can evaluate the possible economic and political costs and benefits to all stakeholders. The three main stakeholders include, the artists, consumers, and the businesses involved

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