In China, people are caring more and more about copyright. This could be seen as a good situation that it could encourage more innovation and invention. Moreover, it protects companies (including foreign companies)’ rights as well. However, there are basic economic incentives to force people to care more about copyright.
Firstly, when more people want to make money from innovation and invention, they have to care more about copyright. Secondly, when people face more competitions in terms of their skills, they want to increase the scarcity of their skills. Copyright increases the cost of skills and knowledge, and creates a bar for people to earn new skills and knowledge. This will reduce the competitions for the people who initially control the skills and knowledge as well as those who have the ability to buy the skills and knowledge, so they will eliminate the competitions from those who cannot afford the costs of receiving new skills and knowledge. Thirdly, for companies, copyright lifts the costs of entry, creates some degree of market power for the large companies. In the court, those judges do not know about technology, they make their judgments based on which firm has the longest copyright list.
To conclude, though copyright encourages innovation and invention, it can reduce the competitions in the market.
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