Development and software piracy

In this paper, the authors analyze the differences in piracy rates from one country to another. Like previous papers on the topic, they find that more developed countries have lower incentives for pirating. Unlike previous papers, they find that the piracy rate is positively correlated with the tax...

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Bibliographic Details
Published in:Economics. The open-access, open-assessment e-journal open-assessment e-journal, 2018-02, Vol.12 (2018-8), p.1-21
Main Authors: Martínez-Sánchez, Francisco, Romeu, Andrés
Format: Article
Language:English
Subjects:
Alliances
Bureaucracy
Developed countries
Domestic markets
Economic models
Economic summit conferences
Education
Exports
GDP
Gross Domestic Product
Incentives
Industrialized nations
Intellectual property
Internet
Internet access
K42
L86
O57
Per capita
Piracy
Piracy rate
Political economy
Property rights
Purchasing power parity
quality bureaucracies
R&D
Research & development
Research & development expenditures
Software
Taxation
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Summary:In this paper, the authors analyze the differences in piracy rates from one country to another. Like previous papers on the topic, they find that more developed countries have lower incentives for pirating. Unlike previous papers, they find that the piracy rate is positively correlated with the tax burden rate but negatively correlated with the domestic market size and exports over GDP. The authors also separate the impacts of education and R&D on piracy, and find two effects with opposite signs. Moreover, they find that those countries with smaller, more efficient bureaucracies are likely to protect intellectual property more effectively. Finally, they show that the spread of access to the Internet is negatively correlated with the software piracy rate.
ISSN:1864-6042
1864-6042
DOI:10.5018/economics-ejournal.ja.2018-8