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Socio-economic development and software piracy. An empirical assessment

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The high rate of software piracy is a growing concern for software developers as well as businesses and governments. It is argued here that the piracy rate is influenced by expected benefits and costs to the pirates. A model is developed using a set of variables that may affect such benefits and costs and hence piracy rate in a country, and tested for a large sample of 53 countries. The results of this paper suggest that the existing socio-economic conditions and the lack of proper institutions in developing and emerging economies may be responsible for high software piracy rates. One may, therefore, infer that the current trends of globalization and socio-economic development may help software piracy in developing countries.
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Document Type: Research Article

Affiliations: 1: Faculty of Business, Bond University, Gold Coast, QLD 4229, Australia 2: Centre for Economic Studies, University of Munich & Institute for Economic Research, Munich, Germany

Publication date: 2005-10-10

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