Question

During most of the 1800s the US government only protected copyrights for US citizens. In particular, books written by British authors, which were very popular in the US, could be printed and sold by US publishers without paying royalties to British authors. Because the US did not enforce copyright for British authors, the United Kingdom did not enforce copyright for US authors, meaning that British publishers could print and sell books by US authors without paying any royalties to them. It was well understood, however, that if the US government would begin to enforce copyright for British authors, the British would reciprocate, and enforce copyright for US authors.

Consider the position of a US Congressman in the late 1800s, considering a bill that would extend copyright protection to British authors (and gain British protection for US authors in return). Assume that his goal is to improve the overall welfare of US citizens. He understands that extending copyright to works of British authors will raise the price that US citizens have to pay for those books. He also understands that the purpose of copyright is to encourage the production of creative works (in this case, works of literature as well as nonfiction scholarship, like science, philosophy and history), by making it more lucrative to be an author of creative works. So, he has to consider the marginal impact of this bill on the supply of new books by English language authors, both British and American.

a. Below are two facts. Say whether each one of these facts would make him more or less likely to vote for the bill, and explain why. (Think in terms of how each of these facts affects the marginal benefits to US citizens and/or the marginal costs to US citizens of a policy honoring British copyrights, and getting the British to honor US copyrights in return.)

(i). Works by British authors are very popular in the US, and US scientists, engineers, and school teachers rely heavily on the scholarly works produced by the British.

(ii). American literature has never been very popular in Britain, and the US, as a young and largely agrarian nation, does not produce much research.

b. A group of American authors of fiction sends a letter to the Congressman, trying to affect his vote. Would you expect this group to support or oppose the bill? Explain (Hint: Books by British authors are notably cheaper at US bookstores than books by American authors).

Answer 1

Q a.  1Considering the first fact that British authors are very popular in the US and academicians and the scientists of the US rely heavily on the British works, it will be less likely for the US Congressmen to vote for the bill. Voting in the favor of bill will raise the price of the books which will increase the costs of the books for the US citizens.

2. Considering the second fact that American literature has never been popular in Britain, thus increase in the cost of US literature and books will further reduce the sales and the popularity of the US literature. Hence considering this fact, the US Congressman is less likely to favor the bill.

Q b. As British literature is more popular and flourishes in both US and Britain, thus American authors will try to influence the policymakers in favor of passing the bill. Increase in the prices of British books and literature will decrease the sale of British books thus boosting the sales of American authors.