_The Creative Wealth of Nations_ often disputed.<sup>159</sup> Meanwhile, in 2009, Nollywood was said to lose up to 50 percent of its profits due to piracy.<sup>160</sup> Whatever these numbers mean, some claim that piracy is actually good for artists, their respective industries, and the public at large. This should be no surprise. For educational purposes, moreover, movies or songs that promote positive social messages may be a public good that should be widely circulated. And, in fact, artists themselves may benefit from piracy via marketing and name recognition. Needless to say, however, it is difficult to assume that artists should not have a say on matters of piracy and marketing. In the framework of freedom and choices, it is reasonable to suggest that, at the end of the day, artists may have reason to reject piracy, even if this comes at the cost of exposing their work.

In a development strategy another key element to consider is this: fighting piracy is not cheap. This adds a thick barrier to the already scarce resources. While in the United States it is common for the Federal Bureau of Investigation (FBI) to conduct piracy investigations at, say, high school and college campuses, it is difficult to see this approach taking root in developing countries. On integrating intellectual property rights (IPR) and development policy, a report commissioned by UK’s Department for International Development discusses the issue of transactional costs. Although the following discussion centers on patent claims, this scenario extends to copyright and other intellectual measures: Establishing the infrastructure of an IPR regime, and mechanisms for the enforcement of IP rights, is costly both to governments, and private stakeholders. In developing countries, where human and financial resources are scarce, and legal systems not well developed, the opportunity costs of operating the system effectively are high. Those costs include the costs of scrutinising the validity of claims to patent rights (both at the application stage and in the courts) and adjudicating upon actions for infringement. Considerable costs are generated by the inherent uncertainties of litigation. These costs too need to be weighed against the benefits arising from the IP system.<sup>161</sup> But it would be shortsighted to recommend policy ideas based on just cost and benefit analyses or on policing piracy with abandon. Such policies could be accompanied by other ideas.* As we shall see in the section on strategic options for the WBG, in this rather intricate domain, education could be a viable entry point. This strategy could also be useful in netting income for the artist in the developing world via digital technologies, as discussed next.

> 159 See: Stephen Galloway, “Who Says Piracy Costs the U.S. $58 Billion a Year?,” _Hollywood Reporter_ , May 12, 2012, accessed June 9, 2014, http://www.hollywoodreporter.com/news/piracy-costs-megaupload-kim- <u>dotcom-318374.</u>

> 160 Mairi Mackay, “Nollywood Loses Half of Film Profits to Piracy, Say Producers,” CNN, accessed June 9, 2014, http://edition.cnn.com/2009/SHOWBIZ/Movies/06/24/nollywood.piracy/.

> 161 _Integrating Intellectual Property Rights and Development Policy_ (London: Commission on Intellectual Property Rights, 2002), 15, accessed June 9, 2014, <u>http://www.iprcommission.org/papers/pdfs/final_report/CIPRfullfinal.pdf.</u>

* Recent measures to fight piracy include the Copyright Alert System (CAS), which “was developed to help consumers understand the importance of respecting copyright and to alert them of possible infringing activity that has taken place using their Internet connection. ...  [Users] may receive up to six Alerts culminating with a Mitigation Measure. ... The measures defer for each Internet Service Provider (ISP) but may, for example, take one of the following forms: • A temporary reduction of Internet speed; • Redirection to a landing page until the primary account holder of your account contacts your ISP; • Redirection to a landing page where the primary account holder must review and respond to educational information.” — “Copyright Alert System FAQS,” Center for Copyright Information (CCI), accessed June 9, 2014, http://www.copyrightinformation.org/about-cci/.  Needless to say, these measures are more likely to make sense in places where Internet infrastructure is sound. Also, in many developing countries, piracy is common via physical CDs, Cassettes, or DVDs.

<mark>40</mark>