Saturday, September 20, 2014

No State, No IP. You be the Judge!

I’m trying to learn whether copying, plagiarism, and false attribution are morally wrong. Or, is “copyright” simply a creation of the state, criminalizing what would otherwise be acceptable behavior? I’ve created a stylized fable here that raises legal issues. Even if you don’t wish to fully work through the multiple-choice problems I present, please comment on whether you feel these behaviors are, or are not, morally permissible in a free society.


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Suppose we live in a voluntary, stateless society. Dispute Resolution Agencies (DROs) exist to enforce tort law and contracts.  For the purpose of this exercise, let’s assume DROs exercise the authority to impose fines and otherwise punish tort violators.

All forms of intellectual property (IP), including copyright, have been abolished. Kinsella’s “Against Intellectual Property” may be cited in legal proceedings as law.

Gary Goodwriter writes an awesome novel, and allows customers to download it as an e-book for a price. The terms of sale clearly state that the customer agrees not to make copies, and that disputes will be handled by DRO.

Carla Copyist purchases a download of the e-book from Gary. Despite the sales agreement, she makes copies of the novel. Carla’s copies still credit Gary Goodwriter as author, and are identical to the original, except Carla’s copies no longer contain any language prohibiting copying. She posts copies anonymously, here and there.

Danny Distributor obtains a free copy of the novel from somewhere on the internet, but he honestly doesn’t remember where. Danny posts the novel on his own site, and is able to sell some copies for a price.

Peter Plagiarist purchases and downloads a copy from Danny. Peter makes copies, substituting his own name as author, falsely taking full credit for writing the novel. Peter is able to sell some copies for a price.

Allie Attributor writes a brand new novel of her own. The cover of Allie’s book states in bold print, “written by Gary Goodwriter”. Because Gary enjoys something of a reputation as a fine author, Allie is able to sell some copies for a price.

Fawning Fan buys a copy of the first novel from Peter Plagiarist, and a copy of the second novel from Allie Attributor.

Civil disputes arise. You are the judge at the DRO (Dispute Resolution Organization). How do you decide:

1. Goodwriter v. Copyist
[A] Goodwriter wins because he had a contract with Copyist which disallowed copying.
[B] Copyist wins because one can only contract with that which is property. Since IP is abolished, the contract is void.

2. Assuming Goodwriter prevails against Copyist, what are his damages?
[A] Whatever amount was specified and agreed to in the contract.
[B] A reasonable amount per copy that Copyist made.
[C] A reasonable amount per copy that Copyist made, plus all subsequent copiers.
[D] No damage award is possible, regardless of contract terms, because IP is abolished.

 3. Goodwriter v. Distributor
[A] Goodwriter wins, because Distributor should have known about Goodwriter’s no-copy policy.
[B] Distributor wins, because Distributor did not know about Goodwriter’s no-copy policy.
[C] Distributor wins, irrespective of Goodwriter’s no-copy policy, because IP is abolished.

4. Goodwriter v. Plagiarist
[A] Goodwriter wins, because Plagiarist defrauded Goodwriter.
[B] Goodwrtier wins, because Plagiarist sullied Goodwriter’s good name.
[C] Plagiarist wins, because Goodwriter cannot show damage to property, because IP is abolished.

5. Fan v. Plagiarist
[A] Fan wins, because Plagiarist defrauded Fan by pretending to have written the novel.
[B] Plagiarist wins, because Fan cannot show damage to property, because IP is abolished.

6. Goodwriter v. Attributor
[A] Goodwriter wins, because Attributor defrauded Goodwriter.
[B] Goodwriter wins, because Attributor sullied Goodwriter’s good name.
[C] Atributor wins, because Goodwriter cannot show damage to property, because IP is abolished.

7. Fan v. Attributor
[A] Fan wins, because Attributor defrauded Fan, by pretending that Goodwriter wrote the novel.
[B] Attributor wins, because Fan cannot show damage to property, because IP is abolished.





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77 Comments

  1. Avatar of Dave Burns
    Dave Burns May 29, 2014, 6:23 am Reply
    What do you suppose the difference in price between DRO contract that promises to enforce IP contracts and one that does not?
    My scenario: DRO says “read your contract” and refuses all these cases. Good writer starts an Internet beef with various of these persons, generating publicity for his book. Serious fans buy it although they could get it free. (Might as well rename him Cory Doctorow.) He holds a kickstarter campaign for the sequel, makes a bushel of money.
    • Avatar of Alexander Baker
      Alexander Baker May 29, 2014, 2:32 pm Reply
      Like any type of insurance, one that provides less coverage is less expensive, other things equal.
      DRO refuses ALL these cases? Including Goodwriter v. Copyist (who appear to have a contract)?
      Goodwriter starts an Internet beef? On what basis? Is copying wrong? If so, why? Is plagiarism wrong? If so, why? Is false attribution wrong? If so, why?
      • Avatar of Dave Burns
        Dave Burns May 29, 2014, 9:59 pm Reply
        “DRO refuses ALL these cases?”
        My DRO does. They don’t have time for expensive nonsense.
        “Goodwriter starts an Internet beef? On what basis?”
        Since when does anyone need a basis? Anything that makes a good story or attracts attention can be the basis for an internet beef. Maybe just state the facts: “She promised not to but she did!” “He’s selling my stuff!” “He selling my stuff with his name on it!” “She’s selling crap pretending I wrote it!” You claim that all these belong in a courtroom, internet beefs can be much more trivial than anything that fits that description.
        “Is copying wrong? If so, why?”
        No. I’m not sure I’m ready to claim it is right, either. But enforcing a law or contract regarding copying either just doesn’t work or requires an unconscionable amount of snooping, chilling, hoop jumping, etc.
        “Is plagiarism wrong? If so, why? Is false attribution wrong? If so, why?”
        Both are instances of lying. DRO seems like overkill to me. To clarify, I am pretty confident that if this ever becomes a problem, other, more reasonable and low-cost solutions will be found. I doubt anyone will be able to make a living selling fake Steven King novels or passing off Steven King novels as their own. Embarrassment seems to be the enforcement mechanism that discourages plagiarism.
  2. Avatar of Jack Feka
    Jack Feka May 29, 2014, 6:43 am Reply
    There are several things that need to be fleshed out in your imaginary world before anyone could begin to logically respond to your queries.
    First, on what grounds would DRO’s operate? Since there is no state they would not likely be operating without someone paying for the service. How would the various parties come to confront each other and be held accountable for the decisions reached? After all, what difference would it make to a person whose position was decided against if they didn’t care in the first place and maybe didn’t even respond to a notice that a claim had been filed with the DRO.
    Another issue I would raise is your statement that all forms of intellectual property had been abolished. If you mean that books, songs, music, etc no longer exist then the scenario you’ve painted is complete non-sense. On the other hand, if you meant to say that legal restrictions on the copying and reproduction of intellectual property no longer exist, you have an entirely different situation.
    This distinction seems to be blurred in your earlier article about IP also. It is not the existence of these things that are in question, but the existence or absence of legal state-mandated and enforced controls over their dissemination.
    • Avatar of Alexander Baker
      Alexander Baker May 29, 2014, 3:03 pm Reply
      Jack,
      DROs would be insurance companies. Customers pay premiums in exchange for protection and dispute resolution services. Contract enforcement is easily understood, as contracting parties agree up front to be bound by the decisions of a DRO.
      Tort law applies to situations where a person violates the person or property of another, and no contract exists between them. Any society, statist or stateless, must confront this problem. For the purpose of this exercise, let’s assume DROs exercise the authority to impose fines and otherwise punish violators.
      “Property” is a legal construct. I can’t imagine a world without songs, stories, movies, computer games, etc. This exercise is imagining a world as Stephan Kinsella imagines it – with intellectual creations, but with no property rights regarding those creations.
  3. Avatar of Matt Phillips
    Matt Phillips May 29, 2014, 7:18 pm Reply
    I’ve corresponded each sub-number with a letter for purposes of addressing your outline above. The number-number outline is fine for the format above, but would become confusing for my purposes below.
    These are my opinions on the scenarios presented in your well-organized thought experiment:
    1. b. There are plenty of contracts that are not based on property. There are conduct contracts, performance contracts, etc. Someone can very easily be sued for violating a contract. Is there any anti-IP argument against EULA’s?
    2. This is a great question, and I don’t know what penalties would be charged against a violater of a EULA if the cost of breach of contract was not spelled out in the contract itself. That’s why my guess is that both parties would very clearly and carefully spell out the penalties in their contracts before signing. If the penalties were obscene, no one would buy the product for fear of accidental breach. If the penalties are extremely slight, people may still feel comfortable making the agreement and purchasing the book, and the added incentive not to share with their friends may just work.
    3.d. “None of the above.” Plagiarist “wins” because he never signed a contract with Goodwriter. Copyist would have to settle up on the damages based on her contract with Goodwriter.
    4.c. in a sense, if Plagiarist obtained his copy with a EULA directly from Goodwriter. Otherwise, Copyist may still be on the hook for violating her contract, and Plagiarist is just a liar.
    5. Both win (in a non-legal sense, since I don’t think that a legal decision would or could be made). Goodwriter may even benefit in the long run. Plagiarist gets some money and recognition (as ill-gotten as it may be), Fan gets to read a book that he/she enjoys. Some people will discover either by research or word of mouth that it was actually a Goodwriter original, and will buy a copy from Goodwriter, along with some of his other works. Fans who discover that Plagiarist is a fraud will most likely not purchase from plagiarist, but instead will now look for the original author of his material. If nothing else, he has a taste that they can appreciate.
    6. Both may win (again, in a non-legal sense, and for the same reason). Goodwriter, if a principled artist, would stand up and deny any works falsely attributed to himself, regardless of how good they are, and how much money he could stand to gain from them. However, if he’s as morally corrupt as our friend, the plagiarist, he would stand to benefit from Attributor’s work if it’s any good.
    In either case, the author gets press for being a great author, or a target of “fraud” (and I use that term extremely loosely). The Attributors may make a few bucks trying to be him for a short time. If they’re good, they probably come out as the actual author and write under their own identity.
    7. See my answer to #5. It would be a variation of that.
    If, down the line, you can prove in your works that there is indeed an “Intellectual Space” for which there is a normative case for protection of law, then there will have to be a sustainable way to protect it without a government. In the case that both conditions are met, I would have to revise my opinions above. I don’t see how that could possibly happen, but I suppose the limits of the world are not measured by what fits inside my cranium.
    So I’ll continue to watch the debate with great interest and an open mind.
    • Avatar of Alexander Baker
      Alexander Baker May 29, 2014, 7:38 pm Reply
      Matt, thanks for the thoughtful comments, much appreciated. I re-numbered / re-lettered, so your comments now match the multi-choice.
      • Avatar of Matt Phillips
        Matt Phillips May 29, 2014, 7:50 pm Reply
        Thanks for that. You didn’t have to change your article!
        Also, a minor correction for my response to question #4: “if Plagiarist” should be “unless Plagiarist.”
  4. Avatar of Krisztián Pintér
    Krisztián Pintér May 29, 2014, 9:57 pm Reply
    here is my analysis, purely opinion, i’m not claiming definite knowledge in these.
    1. and 2. a contract is a conditional transfer of ownership. if their contract says “if you copy, you have to pay X dollars” then, by copying, the condition is satisfied and the ownership of X dollars transfered to goodwriter. if the contract does not contain such a clause, it is consequenceless, thus void.
    3. distributor wins in all circumstances, as he does not have a contract, and caused no damage to anybody’s property.
    4. and 6. plagiarist/attributor and goodwriter are in no relation whatsoever, plagiarist/attributor wins. the reason is lack of contract or physical damage to property.
    5. and 7. fan (buyer) wins. the purchase contract contained the author, which was not fulfilled. the condition for the transfer of the ownership of the price was not met, the buyer is still the legal owner of the money.
    • Avatar of Alexander Baker
      Alexander Baker May 29, 2014, 11:20 pm Reply
      Krisztián, Thank you for your input. In 1 and 2, you define contract as “a conditional transfer of ownership”. That sounds like the “title-transfer” theory of contract, and I support that. So does Kinsella. So did Rothbard.
      However, in 5 and 7, you say Fan wins, because “the purchase contract contained the author”. Who actually wrote the book is a purely intangible concept. The physical structure of the book is the same, regardless of who really wrote it.
      Without IP, how could “the author” be the subject matter of a contract?
      • Avatar of Krisztián Pintér
        Krisztián Pintér June 7, 2014, 5:16 pm Reply
        ownership applies only to physical, but a condition of a contract can refer to anything. a service is most usually intangible. in our case, the contract explicitly contains the clause that i pay the author, perhaps because i want him/her to write more, or i want to encourage writing in general. i did not get what i bought, contract violated.
        consider an even more extreme case: i buy a significantly overpriced post card hand drawn by a handicapped child to support him. turns out it is a lie, and there is no child involved. would you say that the contract is fulfilled?
        • Avatar of Alexander Baker
          Alexander Baker June 7, 2014, 6:48 pm Reply
          One may only contract with that which is property. Your example about “handicapped child” is one of false attribution. Absent a property right in intangible goods, I don’t think you can show damages. No damages means no fraud.
  5. Avatar of Christopher Lewis
    Christopher Lewis May 31, 2014, 1:47 am Reply
    As a preface, I cannot condemn any of the above mentioned actions as “morally wrong” because morals are, to me at least, nothing more than a set of personal values. I do feel that plagiarism and false attribution are forms of fraud, however as they do not deprive anyone of their liberty or product, they cannot, or should not be punishable in any court except for that of public opinion. And we all know that public opinion is quite possibly the most severe court of them all. So my answers to the questions are as follows:
    1.) B. Copyist purchased a set of papers from Goodwriter which contained Goodwriter’s ideas on them. Goodwriter parted with the paper and his ideas for a price. He can no longer claim any rights over the paper, and no contract giving Goodwriter control over Copyist’s justly owned property can be given any force. Justice should not allow it.
    2.) D. Because of my above opinion.
    3.) C. Because of 1 above.
    4.) A. & C. Goodwriter certainly was defrauded, however I cannot see any just and reasonable DRO/court awarding any sort of recompense, as the fraud did not involve any loss of property for Goodwriter.
    5.) A. Fan was a victim of fraud. She technically could state that had she not been defrauded, she would have never purchased the book from Plagiarist and rather purchased it from Goodwriter, or Copyist, or even Distributor, due to a preference of owning a copy attributed to the true author. The only just and reasonable reward would be the price she paid Plagiarist for the book.
    6.) C. Attributor did not defraud Goodwriter, she defrauded everyone who purchased her book, who all now have a rightful claim against her for the same reason that Fan has a case against Plagiarist. As far as Goodwriter is concerned, I find it unreasonable for anyone to expect that their given name, or their reputation for that matter, is a form of property. That notion seems silly to me.
    7.) A. Like her case against Plagiarist, Fan only has a right to the money which she parted with under false pretenses.
    • Avatar of Alexander Baker
      Alexander Baker May 31, 2014, 1:55 am Reply
      Christopher, thanks for your comments. Would it change any of your views if I told you that “fraud” is a legal term, the name of a particular tort (or crime if you like)? Common law holds that fraud requires 3 elements – deception, reliance on the deception, and harm to property.
      • Avatar of Christopher Lewis
        Christopher Lewis May 31, 2014, 2:50 am Reply
        Quite honestly, it wouldn’t. Although fraud has been given strict parameters for its use in our legal system, I don’t believe that we should preclude it from use in our hypothetical world (substitute victim for property in the last element). I actually think it would be quite useful to allow some, if not most, of our legal terms to transcend this current, crumby system into our more just, evolved one.
        With that being said, I believe that the harm to property element is a requirement for recompense, and that relieving someone of their property through false pretenses satisfies that requirement.
        • Avatar of Alexander Baker
          Alexander Baker May 31, 2014, 2:59 am Reply
          Yes, of course there will be tort law in a free society. And I think the definition of fraud should survive intact.
          Since fraud must involve damage to property, I don’t understand how copying, plagiarism or false attribution could be considered fraud, unless there is IP.
          However, I’m willing to keep listening. Thanks again for your input Christopher.
          • Avatar of Christopher Lewis
            Christopher Lewis May 31, 2014, 3:30 am
            I think that is where we differ, in the idea that fraud MUST involve damage to property. I wanted to see if there is any precedent to aid in my idea that it doesn’t require such damage and came across the California Civil Jury Instructions regarding Intentional Misrepresentation (http://www.justia.com/trials-litigation/docs/caci/1900/1900.html). According to that document, for a plaintiff to prove their case they must meet 7 conditions one of which being:
            “6. That [name of plaintiff] was harmed; and”
            The language of that requirement specifically states that the person must be harmed, as opposed to their property. And rightfully so. By having the element be harm to victim, you now allow a hearing for both damages as stated in my answers to the questions of your fable as well as damages to the property of that victim, as harm to his property effectually causes him harm.
          • Avatar of Alexander Baker
            Alexander Baker May 31, 2014, 7:49 am
            I’m sorry Christopher, but “harm” in the jury instruction means “harm to person or property”. Under libertarian theory of self-ownership, a person’s body is property. That’s all I meant.
            All torts, including fraud, must show “damages”, meaning harm to person or property. If there are no damages, there is no case. No harm, no foul, as they say in sports.
            All legal rights are property rights. All legal wrongs are property wrongs. That’s my view anyway. What say you?
          • Avatar of Christopher Lewis
            Christopher Lewis May 31, 2014, 6:24 pm
            I understand what you are saying, and I think we are in near perfect agreement. As long as harm, in the fraud sense, can be understood to mean damage to person or property, then I am satisfied. :)
          • Avatar of Alexander Baker
            Alexander Baker May 31, 2014, 6:43 pm
            Well, yeah, except . . .
            If there’s no property right to intangible things, then there can’t be damage to property here. And if there’s no damage to property, then there’s no fraud.
          • Avatar of Christopher Lewis
            Christopher Lewis May 31, 2014, 6:48 pm
            Understood. For clarification though, as regards the cases of Fan v. Plagiarist and Fan v. Attributor where Fan in parted with property under false pretenses, can that not be considered fraud?
          • Avatar of Alexander Baker
            Alexander Baker May 31, 2014, 9:13 pm
            Plagiarist offers to sell a book in exchange for money. Fan offers to pay money in exchange for book. Fan gets the book. Plagiarist gets the money. Where are the damages?
            Yes, Plagiarist implies that he wrote the book, which is false. But so what? Fan bought a book that she thought was written by Plagiarist. What difference does it make to Fan who actually wrote it? It’s the same book either way.
      • Avatar of Dave Burns
        Dave Burns June 12, 2014, 7:31 pm Reply
        What does “reliance on the deception” mean?
        • Avatar of Alexander Baker
          Alexander Baker June 12, 2014, 8:11 pm Reply
          “reliance on the deception” means that it influenced a decision. In any tort or crime, the plaintiff must show a chain of causation from what the defendant did, to the harm suffered by the plaintiff.
          This is 500 year old common law, by the way, not me.
    • Avatar of Alexander Baker
      Alexander Baker June 7, 2014, 6:58 pm Reply
      Christopher, if you believe morals are only a personal choice, you can’t be a libertarian. Libertarians believe that it is always wrong to initiate force. “Wrong” is a moral judgment. Your position is referred to as “moral relativism”.
      • Avatar of Christopher Lewis
        Christopher Lewis June 9, 2014, 4:39 pm Reply
        I’m not exactly sure how you could possibly make such a declaration. If that’s not an example of the No True Scotsman, then I don’t know what is. Being against the initiation of force isn’t necessarily a moral position, it is an ethical one based on the proper treatment of other human beings. You can be morally opposed to a lot of things, however proper ethics would require you to not act against them or to aggress against another’s right to pursue them. We witness daily the moral opposition to homosexual marriage, moral opposition to drug use, moral opposition to the rights of labor (ie working below the minimum wage, working beyond 40 hours without requiring overtime pay, working while under the minimum age required by law), etc. Those specific morals are not universal, and one does not have the right to declare that those moral positions are “wrong”. Morals are only matters of individual opinion and principle (can someone who is amoral not behave ethically?). How can you declare that I am not libertarian due to my belief in descriptive moral relativism? I do not make normative moral arguments and therefore do not find myself in contradiction to libertarian principles. Am I violating the NAP by having such a belief? I fear that you are making a “thick” judgment and entering into the thick/thin debate by doing so. And by going too thick, one moves from libertarian to authoritarian.
        • Avatar of Alexander Baker
          Alexander Baker June 9, 2014, 5:43 pm Reply
          No true Scotsman can hail from Germany, by definition. No true libertarian can oppose NAP, by definition.
          In my view, law is based entirely on ethics, and ethics is based entirely on morality. If your dementia framework separates ethics from morality, fine. Forget “morals” and substitute “ethics” .
          Is plagiarism unethical? Why or why not?
          • Avatar of Christopher Lewis
            Christopher Lewis June 9, 2014, 6:01 pm
            I do believe, as I wrote, that plagiarism and false attribution are unethical, as they both involve a measure of deception. I find that libel and slander are unethical too, however, like plagiarism and false attribution, I cannot see how punitive punishments can or should be meted out for such things.
            Also, after reconsidering my prior position (regarding Fan’s right to remuneration for purchasing the fraudulent writings), I am now compelled to agree with you (that she has no such legal claim), albeit it for slightly different reasons (one of personal responsibility, as she agreed to the purchase, and should have been aware of all facts before consenting to it).
          • Avatar of Alexander Baker
            Alexander Baker June 9, 2014, 8:14 pm
            Christopher, I apologize for “dementia” above. Was supposed to be “semantic”, auto-spell intervened. Your “semantic framework” separates ethics from morality.
            Ok, so plagiarism is unethical, but not illegal. And it is not possible to punish plagiarists. That is your position, I believe.
            Consider the case of a guy who breaks into your house while you are away on vacation. He makes full use of your house, but then leaves. Is this unethical? Is it illegal? How would a libertarian legal system handle trespass?
          • Avatar of Christopher Lewis
            Christopher Lewis June 12, 2014, 4:53 am
            Yes, plagiarism is unethical because it involves fraud. Deceiving a person or people into thinking you are the originator is unethical, however considering that ideas cannot be considered either scarce nor unique, they should not be considered legal property. And if an idea is not legal property, it cannot be subject to any property rights which require justice.
            I fail to see what trespass has anything to do with this. Using someone’s property without their permission is an entirely different matter. Your mental exercise didn’t involve legal property, it involved ideas, which are only considered property because governments historically have enjoyed picking favorites.
          • Avatar of Alexander Baker
            Alexander Baker June 12, 2014, 5:07 am
            Christopher, you’re right. Plagiarism is fraud. This proves intellectual property is valid.
            Fraud, by definition, requires a showing of damages. That is, damage to PROPERTY.
            Simply being dishonest is not fraud. People tell lies all the time. Only when lies are used to deprive another of property does lying become fraud.
            No property = no fraud.
          • Avatar of Christopher Lewis
            Christopher Lewis June 12, 2014, 5:21 am
            Fraud within YOUR semantic framework. It is my error in continuing to use the term after our earlier discussion on it.
            You’re saying that because I used the word fraud I’m acknowledging IP as actual property, which I’m obviously not. Remove the word “fraud” and replace it with “act of deceit.” Plagiarism is unethical because it involves deceit, but it cannot be considered punishable because no property was actually harmed.
          • Avatar of Christopher Lewis
            Christopher Lewis June 12, 2014, 5:26 am
            Here’s a question for you: do you consider ideas to be scarce or unique? If so, how?
          • Avatar of Alexander Baker
            Alexander Baker June 12, 2014, 5:48 am
            Christopher, no, I’m sorry, deceit is not automatically unethical. If I lie to the robber at my front door when he asks for the location of my jewelry, I am not being unethical. Lying is only unethical when it is used to deprive another of property, or in breach of contract.
            And I am not using “my” definition of fraud. The definition of fraud is from the common law.
          • Avatar of Christopher Lewis
            Christopher Lewis June 12, 2014, 2:27 pm
            I fail to see where I wrote that all forms of deceit are fraud… Are we not writing in the context of your above exercise??? How can the instance where a person sells a knock-off object to someone, under the guise that it is not a knock-off, be considered to be anything other than fraud??? “Lying is only unethical when it is used to deprive another of property[.]” That is exactly my point.
            Furthermore, you keep arguing that, in my view, the transaction cannot be considered a case of fraud because I deny that IP is legal property. That does not make any sense. The case complies with the 3 elements:
            1. deception – Plagiarist and False Attributor deceived Fan.
            2. reliance on the deception – Fan wholly believed what they purported to be true.
            3. harm to property – Fan was deprived of her property, her money.
            If that does not satisfy the criteria for fraud, then I don’t know what to tell you. The case for Fan isn’t about Plagiarist plagiarizing or False Attributor falsely attributing, it’s about the two of them using deception to make a profit. Your only hypothetical argument against that is:
            “Fan bought a book that she thought was written by Plagiarist. What difference does it make to Fan who actually wrote it? It’s the same book either way.”
            Is it really the same book? Originality does matter to some people. So why do you get to decide what Fan should and shouldn’t accept? Why do you get to decide which of her values matter? Perhaps Fan values honesty and originality, do you get to tell her that those values don’t matter?
            Let’s be honest though, you are not truly arguing from that standpoint. You were using a hypothetical argument to try to induce me to answer in a manner which would help work into your thesis that “the current anti-IP position held by many libertarians is misguided[.]” I understand that, as a music writer/producer, you have a compelling interest in maintaining the monopoly over ideas, so let’s just move to that discussion rather than trying to bait me into typing something that will help you out.
            Do you consider ideas to be either scarce or unique? That would be central to furthering the discussion.
          • Avatar of Alexander Baker
            Alexander Baker June 12, 2014, 4:17 pm
            Christopher, I answered your question already, I will again. You ask:
            “How can the instance where a person sells a knock-off object to someone, under the guise that it is not a knock-off, be considered to be anything other than fraud??? ”
            To repeat, fraud requires damage to property. Period. All legal wrongs require damage to property. Period.
            Is this clear? Please let this thought resonate within you for as long as necessary until you fully internalize it.
            All . . legal . . . wrongs …. require . . . a showing .. . of..
            DAMAGES.
            OK? Are we clear?
            No damages = no fraud.
            If you do not acknowledge that fraud requires a showing of damages, then you are incapable of maintaining this conversation.
            Fraud requires damage to property.
            Plagiarism, false attribution, etc do NOT cause any damage to physical things. The only way to show damages in these cases is by finding a property right to intangible goods.
          • Avatar of Dave Burns
            Dave Burns June 12, 2014, 7:43 pm
            On the plagiarism/misattribution/fraud discussion: If I contract with someone to provide a particular good or service, but actually I provide a different good or service, that’s breach of contract, right? Can we think of plagiarism or misattribution as breach of contract, if IP is not considered to be property? In this case, the “IP” is a service, and by misidentifying the author, the contract is not fulfilled. Is there a contract, though?
          • Avatar of Dave Burns
            Dave Burns June 12, 2014, 8:01 pm
            “fraud requires damage to property.”
            So if I sell you the Brooklyn Bridge, is that fraud or not? What property is damaged, besides the money I got from you?
            If I sell you a magic spell to cure cancer, and it doesn’t work, isn’t that fraud? What is the property that is damaged?
      • Avatar of Christopher Lewis
        Christopher Lewis June 12, 2014, 5:34 pm Reply
        Mr. Baker, this is now bordering on absurd.
        I’m going to pretend that you weren’t just trying to insult me. Your arrogance regarding your opinion on this is quite astounding, and your demeaning attitude toward those with which you disagree is both highly unproductive and not very becoming of one attempting to have a reasonable discussion. If you cannot help yourself but to continue in such a distasteful manner, then I’m done, and will consider you to have conceded the point. If you can help yourself and stop the condescension, we can continue.
        But if we do, forget fraud, because it is not central to the point, it is only an ancillary device which you have used to bolster your pro-IP opinion, and you clearly won’t acknowledge the reality of how fraud is being applied especially since 2008.
        Furthermore, no, you have not answered my question, which I clearly stated twice. If you refuse to answer it a third time I will consider you unwilling.
        DO YOU BELIEVE THAT IP IS EITHER SCARCE OR UNIQUE, AND IF SO WHY???
        • Avatar of Alexander Baker
          Alexander Baker June 12, 2014, 6:51 pm Reply
          Please read “why intangible goods are scarece and rivalrous”
          • Avatar of Christopher Lewis
            Christopher Lewis June 12, 2014, 7:00 pm
            I will make myself acquainted with the essay and respond after. Thank you.
  6. Avatar of Alexander Baker
    Alexander Baker June 2, 2014, 3:21 am Reply
    Jeffrey Tucker wrote to me:
    “Plagiarism would be regulated as any other thing in a free society. It would be banned by some institutions and disregarded by others. This is how most things work, governed by taste, manners, and institutional rules. Plagiarism is not even illegal now! the private sector can manage this stuff just fine. “
  7. Avatar of Dave Burns
    Dave Burns June 8, 2014, 10:18 pm Reply
    Alexander, I have not got a good grip on what you think the ideal system would look like. If you could arrange things as you liked, what would it look like? How would you detect that someone has trespassed on your intellectual space, what sort of process would you go through to gain restitution, and what sort of damages would you wish to receive?
    • Avatar of Alexander Baker
      Alexander Baker June 8, 2014, 10:31 pm Reply
      Intellectual space cannot be owned. Certain intellectual objects can be owned.
      I favor a voluntary society, with private firms competing to provide enforcement of contract and tort law. Trespass of intellectual property is AKA “copyright infringement”, and would be proven with evidence, as with any tort case involving any sort of property. “Restitution” is a type of damage award given to disgorge tortfeasors of unjust enrichement, and is applicable to copyright infringement, as well as various torts involving physical property.
      • Avatar of Dave Burns
        Dave Burns June 9, 2014, 9:49 pm Reply
        What sort of monitoring would you do to try to detect violations? What sort of evidence would you expect to be seized? Would you just prosecute people who are trying to profit off your stuff, or go for the teenage collector?
        • Avatar of Dave Burns
          Dave Burns June 9, 2014, 10:39 pm Reply
          And DRM?
        • Avatar of Alexander Baker
          Alexander Baker June 9, 2014, 11:07 pm Reply
          All of your questions apply equally to physical property. Usage of intangible objects can be tracked, as can the use of tangible objects. Rules of evidence evolve at common law. Violators may be prosecuted, and let the punishment fit the crime.
          I would no more try to destroy a teenage music collector than I would a teenage trespasser on my land, or a teenager who steals a loaf of bread. These violations are not pre-meditated murder, but they are not right either. Let the punishment fit the crime.
          • Avatar of Dave Burns
            Dave Burns June 10, 2014, 10:45 pm
            “All of your questions apply equally to physical property.”
            Sounds like an evasion. If we were to treat songs like physical property, I don’t think many violations would be detected. You need snooping and restrictive DRM, no?
            “Let the punishment fit the crime.”
            That would be a positive change.
          • Avatar of Alexander Baker
            Alexander Baker June 10, 2014, 10:54 pm
            Good grief. I get a statement every quarter in which thousands of performances of TV music are tracked worldwide. Radio is the same way. Internet, we count downloads. Really, Dave, honest. Cross my heart. It’s being done, and it works.
            IP protection and tracking is not perfect, but neither is physical property perfectly protected. It’s the same. The only difference between intangible property and physical property is that one is intangible and the other is physical.
  8. Avatar of Dave Burns
    Dave Burns June 11, 2014, 12:58 am Reply
    “I get a statement every quarter in which thousands of performances of TV music are tracked worldwide. Radio is the same way. Internet, we count downloads. ”
    I didn’t say it’s not possible, especially under the current system, for you to spy on me. Just that you need snooping and DRM, unlike physical property. The people who sold me my pants aren’t inspecting my dresser drawers and they didn’t install a remote control zipper.
    “IP protection and tracking is not perfect, but neither is physical property perfectly protected. It’s the same. ”
    Not remotely. If someone steals my pants, I have to notice that they are gone and, under the current system, I need a warrent and probable cause to search people’s houses or persons. I don’t get to put people under surveillance arbitrarily or forbid them to do certain kinds of computer research. The primary means of securing physical property is just possession. Securing IP requires an incipient police state.
  9. Avatar of Alexander Baker
    Alexander Baker June 11, 2014, 1:09 am Reply
    Dave Burns,
    Tracking usage does not require spying. I currently track my usage, and I am not a spy. You have, by implication, just falsely accused me of criminal conduct. That is dishonest and outrageous. Shame on you.
    I demand an immediate, public apology.
    Alexander Baker
    Write Hear Music (BMI)
  10. Avatar of Dave Burns
    Dave Burns June 12, 2014, 3:38 am Reply
    Tracking legitimate usage does not require spying. Detecting violations of copyright does. Are you going to ignore downloads of your music using BitTorrent? Are you going to allow hackers to research and share methods for defeating DRM? If so, I will happily apologize, but then I will wonder what we were debating.
    • Avatar of Alexander Baker
      Alexander Baker June 12, 2014, 4:33 am Reply
      Are you willing to ignore a thief who is stockpiling stolen goods in a warehouse he legitimately owns?
      Dave, there is absolutely no difference, conceptually, between physical goods and intangible goods, except that one is physical and the other intangible. If “spying” invalidates IP, then why doesn’t “spying” invalidate PP?
      As to what is and is not allowed, precisely the same laws apply to IP as to PP. Whatever question you have about the enforcement of IP law is precisely the same as the corresponding question with PP, in all cases, with zero exceptions.
  11. Avatar of Dave Burns
    Dave Burns June 12, 2014, 7:04 pm Reply
    “Are you willing to ignore a thief who is stockpiling stolen goods in a warehouse he legitimately owns?”
    Obviously not. But you still need a warrant to search it. Also, if it was a warehouse full of *copies* of someone else’s goods made with raw materials owned by the warehouse tenant, yes I would ignore it. And so would you. Apparently IP and PP are not identical after all?
    “If “spying” invalidates IP, then why doesn’t “spying” invalidate PP?”
    If PP required spying or monitoring thoughtcrime, this question would make sense. IP does, PP does not.
    “As to what is and is not allowed, precisely the same laws apply to IP as to PP.”
    Are you discussing your ideal world, or the one we inhabit? PP does not require DMCA, persecution of Napster, pirate bay or Kim Dotcom, granny lawsuits, etc.
    “Whatever question you have about the enforcement of IP law is precisely the same as the corresponding question with PP, in all cases, with zero exceptions.”
    Well then. DMCA or no DMCA? Locksmiths can exist or must go out of business? NSA can hack my PC without a warrant or not? etc. Saying “it is the same” doesn’t tell me what you think it is or what you think it ought to be. If we use the same law for both, DMCA and other laws specific to IP and DRM should be repealed, since their application to PP would cause a disaster.
    • Avatar of Alexander Baker
      Alexander Baker June 12, 2014, 7:50 pm Reply
      But you still need a warrant to search it. (Whether it is physical or intellectual).
      Also, if it was a warehouse full of *copies* of someone else’s goods made with raw materials owned by the warehouse tenant, yes I would ignore it. And so would you. (Not if they were manufactured using the productive capacity owned by another, e.g. an assembly line or master song file).
      Apparently IP and PP are not identical after all? (Yes, they are perfectly identical, in every case, without exception).
      I invite you to attempt to find a single example where physical property and intellectual property operate differently. You will fail.
  12. Avatar of Alexander Baker
    Alexander Baker June 12, 2014, 8:32 pm Reply
    Dave Burns June 12, 2014, 8:01 pm
    Baker : “fraud requires damage to property.”
    Burns: “So if I sell you the Brooklyn Bridge, is that fraud or not? What property is damaged, besides the money I got from you?”
    Baker: “If you contract to sell me the Brooklyn Bridge, and fail to deliver, I am damaged in the amount of 1 Bridge. That is damage to property. I have 1 bridge less than I should. Alternatively, you can measure my damages as the money which was my property before I transferred it to you. Remember, only property can be the subject of contract”.
    Burns “If I sell you a magic spell to cure cancer, and it doesn’t work, isn’t that fraud? What is the property that is damaged?”
    Baker: “There is no magic, therefore no property right in magic spell. Contract is void for fraud (Deception – reliance – harm). Damages are the amount of money (property) I paid you.”
    • Avatar of Dave Burns
      Dave Burns June 12, 2014, 11:02 pm Reply
      Baker: “There is no magic, therefore no property right in magic spell. Contract is void for fraud (Deception – reliance – harm). Damages are the amount of money (property) I paid you.”
      Burns: So as long as money is involved in the transaction, plagiarism or misattribution can be fraud, even if there is no copyright. But this seems to contradict what Baker wrote previously: “Christopher, you’re right. Plagiarism is fraud. This proves intellectual property is valid.”
      • Avatar of Alexander Baker
        Alexander Baker June 12, 2014, 11:36 pm Reply
        Plagiarism is only fraud if there is IP. You paid for a book, you got a book. The only property right at stake is the authorship of the book, an intangible good. I say the authorship is rightly the subject of a contract, because it is property. If there is no IP, then it makes no difference who really wrote the book. Thus, who wrote the book cannot be the subject of a contract.
        • Avatar of Dave Burns
          Dave Burns June 13, 2014, 1:52 am Reply
          “You paid for a book, you got a book. The only property right at stake is the authorship of the book, an intangible good.”
          Can I sell you the Brooklyn Bridge, and actually deliver to you the deed to a plank across a creek in Texas? You paid for a bridge, you got a bridge.
          “If there is no IP, then it makes no difference who really wrote the book. Thus, who wrote the book cannot be the subject of a contract.”
          I need to see an argument supporting that conclusion. You claim that ideas can’t be owned, but we know who invented calculus, no one ever claimed to own it, yet the correct authorship and historical sequence was considered interesting and important by many people. No one has denied that books are goods or that they can be described, why can’t they be the subject of a contract?
          What about work contracts, where is the property? If a janitorial service signs a contract with me, what is the property they are selling me? It is a service. Contract requires something to be exchanged, but the money is enough.
          • Avatar of Alexander Baker
            Alexander Baker June 13, 2014, 2:13 am
            A physical book can be the subject of a contract. The pattern of words can be the subject of a separate contract. If there is no property right in the pattern, it is impossible to contract for the pattern.
            Service contracts are an exchange of property titles, like all contracts. When you work for another, you are renting your body, which is your right, because you have a property right in your body. If there was no property right in your body, you would have no basis to contract for work.
            One may only contract with that which is property. Period. No exceptions.
            No property = No contract.
            No property = No fraud.
  13. Avatar of Dave Burns
    Dave Burns June 12, 2014, 10:47 pm Reply
    “But you still need a warrant to search it. (Whether it is physical or intellectual).”
    So you favor a change to the current system, requiring search warrants.
    “(Not if they were manufactured using the productive capacity owned by another, e.g. an assembly line [...]”
    But this is an impossibility. Your assembly line analogy, actually to be analogous, requires that someone can “use a factory” without being physically present and without causing congestion or wear on the machinery or using the electricity of the factory. Which cannot happen. So in effect, you are saying you would ignore it, except in the case where something impossible happened.
    “I invite you to attempt to find a single example where physical property and intellectual property operate differently. ”
    Seems to me they operate differently in every case. But that is not what I need to show. If we view them as identical, IP is a degenerate case of PP, where owning a copy gives you the capability to make more copies. Particular copies can be owned if the physical media that contain them can be owned (e.g. copies transmitted by radio are not owned). Ideas, including the complex of ideas that forms the design of physical goods, should not be owned. We could construct an effective system to enforce “property rights” in ideas, but we should not because it would require draconian and intrusive mechanisms for detecting or preventing violations. This regime treats PP and IP and ideas the same, does not require that I show any difference in their operation.
    • Avatar of Alexander Baker
      Alexander Baker June 12, 2014, 10:55 pm Reply
      I favor the voluntary society.
    • Avatar of Alexander Baker
      Alexander Baker June 12, 2014, 11:02 pm Reply
      Using intellectual goods DOES wear them out, they are no more immortal than physical goods.
      • Avatar of Dave Burns
        Dave Burns June 12, 2014, 11:28 pm Reply
        “Using intellectual goods DOES wear them out, they are no more immortal than physical goods.”
        I think Baker is being metaphysical again, but let it slide. My point is, if you produce a song and sell it to me, the productive capacity I have gained possession of is physically distinct from the productive capacity you used to produce the song. I need not use the same physical recording or components or anything other than the item you sold me and other equipment or energy I can obtain from other sources, if we limit our discussion to the real world and exclude intellectual space. Nothing of yours in the real world is used, touched, worn out, or consumed when I produce a copy of your song from the copy you sold me. All of the trespasses and usage and wearing out that involves something belonging to you occurs only in “intellectual space.”
        I can do the same thing with a physical object, buy one and copy it using my own energy, materials, machinery, 3-d printer, etc. Since Baker rejects patents, he contradicts himself. If we adopt his metaphysics, and claim that IP is just like PP in all cases, we can assign intellectual objects in intellectual space corresponding to the design of physical objects. Why is it the case that the intellectual object corresponding to a song can be owned, but the intellectual object corresponding to a chair cannot?
        • Avatar of Alexander Baker
          Alexander Baker June 12, 2014, 11:39 pm Reply
          A patent is a description of how homesteading could be done.
          A copyright is actually homesteading.
          • Avatar of Dave Burns
            Dave Burns June 13, 2014, 2:00 am
            So ideas and processes can’t be homesteaded, but songs and books can? Or they can be homesteaded, but you can gain the information required by a patent without actually homesteading the product or process?
        • Avatar of Alexander Baker
          Alexander Baker June 13, 2014, 12:23 am Reply
          I agree completely. Use of IP does not interfere physically. We’ve been through this. If you define terms that way, you can prove your argument with a few short phrases, and nothing more need be said.
          Property must be rivalrous, rivalry must be physical, thus property must be physical. QED.
  14. Avatar of Alexander Baker
    Alexander Baker June 13, 2014, 2:17 am Reply
    A patent describes a METHOD of building something.
    A copyright protects a thing that has ACTUALLY been built.
    See the difference?
    A can describe a method for songwriting. You can’t copyright the method. If you apply the method and actually write a song, you may copyright the song.
    See the difference?
    • Avatar of Dave Burns
      Dave Burns June 13, 2014, 7:17 am Reply
      Thought experiment: suppose we have a sophisticated CAD program and a 3-D printer, so that I could make a specification document that would allow me to manufacture an item I invent just like playing an MP3. The spec would be analogous to the song, right?
      • Avatar of Alexander Baker
        Alexander Baker June 13, 2014, 2:44 pm Reply
        The spec is not like a song. The spec is like an instructional book about how to play a specific song.
        The method described by your spec would be subject to patent under current law. Because a patent is merely a description of how homesteading could occur, rather than an act of homesteading itself, patent not valid property.
        The exact patten of words and symbols present in the spec is subject to copyright, like any book.
        Do you see the difference? There are concepts and ideas conveyed by the spec (not copyrightable). There is an exact pattern of words and symbols fixed in a document (copyrightable).
        I think part of the problem is that Kinsella and his supporters have insisted on lumping copyright and patent together as “IP”. They are completely different things. Let’s unbundle them, please.
        Great question! Thank you.
  15. Avatar of Dave Burns
    Dave Burns June 13, 2014, 8:21 pm Reply
    “The spec is like an instructional book about how to play a specific song. ”
    Isn’t an MP3 like an instructional book about how to reproduce a song? Isn’t sheet music like an instructional book on how to play a song? If I copyright the MP3, wouldn’t an unauthorized songbook containing sheet music for the same song be an infringement of copyright? Many possible performances, recordings, formats, notations, but only one song. The input to copyright may be a specific pattern, but the process proceeds as if that pattern established ownership of a braod set of possible patterns. The connection between these patterns is some metaphysical Platonic ideal. It is an idea, or complex of ideas. This is what the copyright owner actually owns. But the line between this and owning ideas is purely arbitrary. I can express any idea as a pattern of words or other notation. A songwriter can own a song, a novelist can own characters and settings, but a mathematician can’t own theorems or mathematical concepts. It’s just arbitrary. Why can’t physical objects be copyrighted? Or maybe they can, even worse. Sears could make me sign a EULA for my screwdriver. Yikes.
  16. Avatar of Alexander Baker
    Alexander Baker June 13, 2014, 11:03 pm Reply
    Your confusion is exactly why I conceived of intellectual space.
    A song is copyrightable because the song is the good. A method is not copyrightable because a method describes how to make a good, but is not the good. It is certainly possible to copyright a specific pattern of information describing a method. But that is not the same as copyrighting the method.
    To repeat, all property requires arbitrary boundaries. If this does not invalidate physical property, it must not invalidate IP.
  17. Avatar of Dave Burns
    Dave Burns June 14, 2014, 12:18 am Reply
    ‘A method is not copyrightable because a method describes how to make a good, but is not the good.’
    What if I paraphrase that as, “an MP3 is not copyrightable because an MP3 encodes how to reproduce a performance of a song, but is not the song?” Can you see why it is not clearing up for me?
    ‘To repeat, all property requires arbitrary boundaries. If this does not invalidate physical property, it must not invalidate IP.’
    Physical boundaries are imprecise, historically contingent, but not arbitrary. Was that what you meant? Does the concept of a boundary even make sense in intellectual space? What is near, what is far?
    I just noticed that your profile page lists your replies at the wrong time, presumably because of our timezone difference. Everything you do happened at least 4 hours ago. Does my profile list my responses as happening in the future? (chuckle)
    • Avatar of Alexander Baker
      Alexander Baker June 14, 2014, 12:46 am Reply
      A boundary in intellectual space makes perfect sense. There are 100s of millions of copies of the song “Yesterday”. There are hundreds of different versions by different artists. And yet, we have no difficulty at all recognizing “Yesterday” when we hear it.
      Dave, this conversation has been very illuminating to me. You obviously have a blind spot for the property rights of others. You just don’t understand the cruel damage you inflict with your aggression.
      Please understand. We are talking about real damage, to real people. You openly advocate intentional harm. You are, therefore, and intellectual sociopath. I fear you.
  18. Avatar of Dave Burns
    Dave Burns June 15, 2014, 4:42 am Reply
    “A boundary in intellectual space makes perfect sense.”
    I wish you would explain it. Thinking of a song as a point in this space doesn’t work well. I’m moving toward thinking of a song as a shape. Different performances would be nearly identical shapes, intersecting perhaps in many places and in close proximity elsewhere. A mashup or a song containing a sample from another song would intersect the original songs. So space can be continuous, but a song isn’t necessarily a single connected shape, it can be a collection of shapes. But I still don’t get the dimensions.
    • Avatar of Alexander Baker
      Alexander Baker June 15, 2014, 4:49 am Reply
      Dave, yes, excellent. A song is like a shape (“bounded pattern”) in intellectual space. It has boundaries because we can tell what is inside the song, and what is outside the song.
  19. Avatar of Dave Burns
    Dave Burns June 15, 2014, 5:30 am Reply
    It might be more precise to say we know what is part of the song and not part of it, what is similar and what is dissimilar, rather than what is inside or out. Things are too undefined for us to know that a song could not be a large sphere, say, and songs relating to shapes deep within the sphere would not be even particularly similar to the song defined by the sphere.

Thursday, September 18, 2014

Why Subjective Valuation Supports Intellectual Property

"Value" is a purely subjective human emotion. One man's trash is another man's treasure. This fact makes trade possible and mutually beneficial. When two people voluntarily agree to trade, it means that they value the things traded in reverse order. Both parties expect to derive a benefit of the bargain.

A Poor Argument For IP

Some proponents of intellectual property have tried to support their position by noting that IP infringements will tend to reduce the value of their property. For example, if I created a song, and you made copies of it without my permission, then my existing copies would be worth less on the market. Hoppe and others have correctly noted that one cannot have a property right in the value of a thing.
Thus, the fact that unauthorized copying might reduce someone's individual valuation (or the market valuation) of the original is not a valid argument in favor of IP.

Not an Argument Against IP Either

But the subjective nature of value is not an argument against IP either. To see why, let's apply the same logic to physical property. Making additional copies of a bicycle will increase the supply, thus reduce the value of the previously existing bicycles. Does this mean that property rights in bicycles are invalid? Of course not.

Value = Use

To get to the bottom of how subjective valuation correctly applies to copyright, consider this: value is synonymous with (or very closely related to) "use". When I use something, I am in that moment deriving value from it. My value. My subjective value.
Two people can use the same one thing in two very different ways. For example, a little toddler will use a pair of baby shoes to protect her feet while learning to walk. After she's outgrown them, her mother will use the shoes as a keepsake. Same shoes, different use.
We can see that "use" is just as subjective as value. Thus, one cannot presume to know what "using" a thing even means to another.

What Does "Interfere" Mean?

The necessity for property rights applies to rivalrous things. Rivalrous means that use by one interferes with use by another. Clearly, one cannot presume to know what "use" even means to another person, for "use" is every bit as subjective as "value". Until we understand what the individual means by "use", we have no basis whatsoever to form an opinion as to whether somebody else's use does or does not interfere.








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28 Comments

  1. Avatar of maluka
    maluka May 26, 2014, 4:32 am Reply
    You just substituted the word value for use and repeated the same agument you yourself titled ” a poor argument” by replacing “value” for “use” whicht you claim are (somewhat) synonyms anyway.
    How does coping a song from something else than the master record interfere with the musician making copies from his master record? He can still produce as much copies as he wants.
  2. Avatar of Alexander Baker
    Alexander Baker May 26, 2014, 4:44 am Reply
    I explain rivalry of intangible goods in:
    http://homesteadip.liberty.me/2014/05/25/why-intangible-goods-are-scarce-and-rivalrous/
    As homesteader of a song, I own 100% of the productive capacity. When you begin making copies, I own less than 100%. I want to make 100%. Thus I cannot make “all I want”. Thus you interfere.
    • Avatar of maluka
      maluka May 26, 2014, 4:50 am Reply
      That’s what I mean. That is a restatement of the “I am entitled to the full value”-argument, you yourself titled “poor”.
      You still own a hundred 100% of the productive capacities of your master record and your copies. You can make as many copies as it possible for you. No body takes the tiniest bit of your copies or your master record away.
    • Avatar of Skyler J. Collins
      Skyler J. Collins May 26, 2014, 4:48 pm Reply
      If your creation prevents me from using my already-owned scarce resources however I choose, then you’re creation interferes with my property rights. IP is unjustifiable. You don’t homestead nonscarce information, you homestead (or trade for) scarce resources. See Tucker and Kinsella: http://mises.org/daily/4630
      • Avatar of Alexander Baker
        Alexander Baker May 26, 2014, 5:22 pm Reply
        Using that exact same reasoning, we can “prove” that physical property rights are invalid. If I homestead a piece of land, I can now prevent you from walking where you used to walk, thus interfering with your use of your own body.
        Intangible goods are scarce, and are rivalrous.
        • Avatar of Skyler J. Collins
          Skyler J. Collins May 30, 2014, 2:47 am Reply
          If I used to walk there, then it would seem that I (and whoever else used it) was the resources first user, and hence it’s owner. See Long on “public space”: http://c4ss.org/content/14724
          If two or more people can use an idea without interfering in the other’s use of the same idea, its nonscarce.
          • Avatar of Alexander Baker
            Alexander Baker May 30, 2014, 3:09 am
            I don’t think walking on land qualifies as homesteading, but it’s arguable. And that’s the point. What, exactly, qualifies as “using” a resource? And where, exactly, are the boundaries? Property rights assignments require arbitrary human judgments. And that’s OK.
            Yes, if two or more people can use an idea without interfering in the other’s use of the same idea, then it is nonscarce (more precisely, non-rivalrous).
            You have simply stated the definition.
            Give some thought to the problem of deciding what constitutes “use”. Use is synonymous with value, which is subjective.
  3. Avatar of Dave Burns
    Dave Burns May 27, 2014, 1:19 am Reply
    “Until we understand what the individual means by “use”, we have no basis whatsoever to form an opinion as to whether somebody else’s use does or does not interfere.”
    This is irrelevant unless the meaning for “use” you end up with depends on other people not using it, even though they could do so without access to any actual real physical property of yours. And that would be begging the question.
    A rivalrous consumption good cannot be consumed by multiple persons at the same time. A rivalrous production good cannot be used for production by multiple producers at the same time. Torturing the definitions and bringing in Austrian ideas about subjective value doesn’t help.
  4. Avatar of Skyler J. Collins
    Skyler J. Collins May 30, 2014, 3:25 am Reply
    Alexander: “Use is synonymous with value, which is subjective.”
    Use: take, hold, or deploy (something) as a means of accomplishing a purpose or achieving a result; employ.
    Value: the regard that something is held to deserve; the importance, worth, or usefulness of something.
    They don’t sound synonymous. The use of something may be valued by someone, but so may any other characteristic. Value is a subjective determination of worth based on any number of characteristics, including possible uses. To say that they are synonymous is simply wrong. And to say that a diminishing of value in the minds of others diminishes its use is wrong. It’s a non-sequitur. The value will go up or down from zero to billions or more in the minds of each and every person, while it’s use(s) will remain constant so long as it isn’t physically changed.
    Your use of an idea will be constant, while the value of that idea will change in the minds of everyone.
    • Avatar of Alexander Baker
      Alexander Baker May 30, 2014, 3:51 am Reply
      Um, notice how “usefulness” is in your definition of “value”?
      As I said in the article, use and value are closely related. The take-away point is that usefulness is subjective. Therefore the definition of “rivalrous” has a subjective element to it.
      • Avatar of Skyler J. Collins
        Skyler J. Collins May 30, 2014, 10:39 pm Reply
        “or” is in both definitions, but that doesn’t make it synonymous. “Use” is a characteristic, like shape, color, texture, state, etc. etc. How we value, or the worth we prescribe, to each characteristic is subjectively determined. That doesn’t make the characteristics synonymous with value. Characteristics, like use, resides objectively in the thing, whereas value resides subjectively in everyone else’s minds. Use is only interfered with if the thing is physically interfered with. Which is exactly what patent and copyright do to everyone else’s real property. They interfere, via the state, with the owner’s use of his real property. Hence the re-distribution of property rights that IP entails. Theft, in other words.
        • Avatar of Alexander Baker
          Alexander Baker May 30, 2014, 11:28 pm Reply
          “Use is only interfered with if the thing is physically interfered with.”
          You’re free to define “use” that way, but then all you’ve done is smuggled your conclusion into your premise. With that definition, Kinsella could have written a very short book:
          Property rights only apply to rivalrous things. Rivalrous means that use by one interferes with use by another. Interference must be physical. Therefore property rights only apply to physical things. QED.
          And that is the sum and substance of what Kinsella did, although he goes on for 60 pages.
          • Avatar of Skyler J. Collins
            Skyler J. Collins May 31, 2014, 12:56 am
            That’s *the* definition of use. I’m not smuggling in anything. You’ll have to pick a different word if you don’t like what it means.
            “Property rights only apply to rivalrous things.”
            Now you’re getting it.
          • Avatar of Alexander Baker
            Alexander Baker May 31, 2014, 1:26 am
            Sigh. Here’s A definition of “use’, from google:
            take, hold, or deploy (something) as a means of accomplishing a purpose or achieving a result; employ.
            (note – deploy something)
            Here is a definition of “thing” from free dictionary:
            An entity, an idea, or a quality perceived, known, or thought to have its own existence.
            Substituting and editing, I get:
            Use – deploy an idea as a means of accomplishing a purpose or achieving a result
        • Avatar of Matthew Crouch
          Matthew Crouch July 10, 2014, 2:58 pm Reply
          > “or” is in both definitions, but that doesn’t make it synonymous.
          Skyler, I just want you to know that I had a *robust* laugh right here. I’m a 30-day free-trial l.me member right now, but you have persuaded me to pay to stick around.
          Baker’s semantic flailings are sometimes painful to watch; you cheered me up.
      • Avatar of Skyler J. Collins
        Skyler J. Collins May 30, 2014, 10:40 pm Reply
        And your equivocating “use” and “usefulness”. They aren’t synonymous. The former is an objective characteristic, the later a subjective determination, like value (quite similar, but not the same thing, either.)
        • Avatar of Alexander Baker
          Alexander Baker May 30, 2014, 11:34 pm Reply
          Skyler, do you agree or disagree that “to use” something is subjective? Reconsider the example I gave in the article, about baby shoes. Or make up your own example. Two reasonable people can have very different views about what it means “to use” something, right?
          What does it mean “to use” my house? I can’t be every place in my house at once. What if a trespasser comes in my house without permission, but is very careful to avoid me, and only uses those parts of the house that I am not using at the time?
          Is he interfering? Why or why not?
          • Avatar of Skyler J. Collins
            Skyler J. Collins May 31, 2014, 12:59 am
            No, possible uses is not subjective. They are demonstrably objective. A thing can be used any number of ways. Each use (objective) will be more or less useful (subjective) to each person, but the [way of using] a thing is not subjective.
            I don’t know if he’s interfering with your use, probably not, but he is interfering with your right as owner to prescribe use.
          • Avatar of Skyler J. Collins
            Skyler J. Collins May 31, 2014, 1:01 am
            “I don’t know if he’s interfering with your use, probably not, but he is interfering with your right as owner to prescribe use.”
            I should add, “… of your rivalrous (scarce) resource.”
          • Avatar of Alexander Baker
            Alexander Baker May 31, 2014, 1:33 am
            If I walk across un-owned land, have I put it to use, sufficient to appropriate the land as my own? If so, how much land, precisely?
            If I look at the beautiful painting on my wall, am I putting it to use?
            If I look at the beautiful mountain range out my window, am I putting it to use?
  5. Avatar of Skyler J. Collins
    Skyler J. Collins May 31, 2014, 5:36 am Reply
    Alexander: “Use – deploy an idea as a means of accomplishing a purpose or achieving a result”
    Yes, and your use of that idea (manifest in the real world through your real property) in no way interferes with my use of the same idea (manifest in reality through my real property). You use your real property in Arrangement A, and I use my real property in Arrangement A, and neither of us interferes with the others’ use.
  6. Avatar of Skyler J. Collins
    Skyler J. Collins May 31, 2014, 5:38 am Reply
    Alexander: “If I walk across un-owned land, have I put it to use, sufficient to appropriate the land as my own? If so, how much land, precisely?”
    Have you beaten a well-worn path? Then yes. The path area containing the path is yours. See the Long article I already linked to.
    Alexander: “If I look at the beautiful painting on my wall, am I putting it to use?”
    Sure. But so what?
    Alexander: “If I look at the beautiful mountain range out my window, am I putting it to use?”
    Sure. But so what?
  7. Avatar of Skyler J. Collins
    Skyler J. Collins June 4, 2014, 2:59 pm Reply
    Alexander: “Use – deploy an idea as a means of accomplishing a purpose or achieving a result.”
    And how do we get from their to value? Or, more importantly, to the use of force to prevent the use of an idea by others?
    • Avatar of Matthew Crouch
      Matthew Crouch July 10, 2014, 4:01 pm Reply
      “And how do we get from their to value? Or, more importantly, to the use of force to prevent the use of an idea by others?”
      It’s admittedly kind of hard to follow, but it works if you stand really far away and squint your eyes so that everything is blurry:
      There is a sense in which “use” is subjective. Like “value” — you agree that value is subjective, right? Great! There’s consumer use and producer use (sometimes these overlap but keep squinting); these don’t interfere with each other. There’s also “productive capacity” .. when I say “there” I mean it’s in “intellectual space” so “there” doesn’t really mean that it is somewhere. Still with me? Great!
      Now because of the subjective stuff (see above) you can’t say definitely that someone’s [producer] use doesn’t interfere with someone else’s, ’cause you can’t say what use is, really. Also don’t forget rivalrous. “Using” something subjectively, for certain purposes, makes those things rivalrous. ‘Cause of productive capacity and value. The subjective-ness of “using” makes productive capacity rivalrous, ’cause of value. It’s a lot like a bicycle factory. Just picture a bicycle factory in your squinty mind’s eye, and we’re good.
  8. destockage salle de bain June 9, 2014, 8:09 am Reply
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    Hi,That nice post Tks

Wednesday, August 27, 2014

Songs Are Like Factories (a deeper look)

Introduction


In several places, I have have presented a comparison between the physical object (a bicycle) and the intangible (a song).  A song is like a bicycle (the consumer good) AND a bicycle factory (the producer good). Unauthorized copying is trespass, because it is like sneaking into the factory and running the assembly line.

Stephen Davis argues that the analogy is flawed:

You state (correctly) that Betty's trespass is wrong because "the owner of property is entitled to exclude others from using it, even when not using it himself."

You state (incorrectly) that I'm assuming rivalry must be physical. Here is my argument (not assumption) as to why Betty interfered with John's use of his factory: "at the very same time that he was using it in the way he wanted (vacant, machinery off, lights out, etc.), she used it for her own purposes (occupied, machinery on, lights on, etc.)."

Notice the key point: the factory can't be in both states at the same time. Its use by one person necessarily excludes use by another. This is the entire reason that property rights are necessary.

You say that, if I copy your song, I'm interfering with your use. But you are still completely free to do whatever you want with your song, at any time. This is not the case in the factory example.

Thus, your argument fails. 

-Stephen Davis

Davis is simply applying a different standard to physical vs. intangible objects. I will re-state Davis' argument, applying a consistent standard.

Argument for Physical Property


Suppose I build a factory, and inside I build 100 identical machines. I own the building, I own all 100 machines.

Machine #1 is plugged in and turned on. The rest of the machines (#2-100) are unplugged.  I am using Machine #1 to produce 48 widgets / day.  I own each widget produced. I advertise, and sell widgets on the market.

You are one of my customers. You like my widgets, and so do your friends. You like them so much you decide to manufacture a whole bunch and pass them out among your friends. Unfortunately, you do not hold title to my factory, and thus lack any legal access the machines necessary to manufacture widgets. If you are to succeed, you must resort to illegal means.

You sneak into my factory without permission, plug in machine #97, turn it on, and make a few widgets. I catch you red-handed. Naturally, I draw my weapon and line you up in my sights, prepared to use rightful deadly force in defense of my property.

You attempt to argue your way out by claiming that you rightfully own the widgets you made, because you didn't interfere with my making widgets.

I cock my weapon, while explaining the fallacy in your position:

Machine number #97 can either be on or off. Just because it is off doesn't mean I am not using it. It just means I prefer that it be off right now. Since it cannot be both on and off at the same time, your turning it on interferes with my use.

We may extend this reasoning to include the entire factory. Each of the 100 machines can either be on or off. Thus there are 10,000 different combinations of "on" and "off" for the array of machines (10,000 different "states"). Although the state can be changed (by turning machines on or off), at any one point in time, the factory must be in one particular state, to the exclusion of all other possible states.

As factory owner, I have the right to decide which of the 10,000 possible states I prefer. If your action (turning on or off a machine) causes a different state than I desire, then you have interfered with my use, because it is not possible for my preferred state to exist at the same time as your preferred state.

You argue that I was making 48 widgets / day before your action, and I am still able to make 48 / widgets / day after your action. You wonder how you could possibly be interfering with my use. I shift the aim of my weapon, and continue to explain:

The numbers chosen (48 widgets / day, 100 machines, 10,000 combinations) are completely arbitrary. The principle would hold true if it was 26 widgets / day, and 59 machines, and 3481 combinations. As the guy who built all this machinery,  I own 100% of all possible use, and that includes owning 100%  of all the widgets you made.

You begin to tremble. You say you should own the widgets you made, because you used your own labor.

That's true but completely irrelevant. You had no right to bring your "labor" anywhere near my machines. I step closer, focusing you in my sights.

Your eyes widen considerably. Smiling from ear to ear, you next claim that you gained ownership of Machine #97 YOURSELF, because you plugged it in. After all, a machine that is not plugged in is completely useless. You even say that YOU'VE done ME a GREAT FAVOR by increasing the overall productive capacity of MY OWN FACTORY factory. Think of how many more widgets can be made now, because Machine #97 is operating.

That's true but irrelevant. You had no right to do anything with my machines. Do you really believe that you gain ownership of a machine's productive capacity, simply because you did a tiny amount of labor in plugging the machine in? The person who built the machine owns it, not the person who plugs it in. How preposterous! At this point I seriously wonder if you are in any way reasonable.

Increasingly desperate, you suggest that I surrendered ownership of my entire factory because I published my address on my website, and because I advertise. This is so ridiculous, I cannot respond. Instead, I demand back the widgets that you made on my machine.

You inform me that you "gave the widgets away to your friends". You also told your friends that they should come here, "plug some more machines in", and "make more widgets" to give away to their friends. And if that pesky factory owner shows up, just use the above arguments.

In fact, tell him that this is now the PEOPLE"S FACTORY! As many machines as possible must be plugged in and operated, and all widgets produced must be given away to the people. Widgets are no longer a manufactured consumer item. Widgets are now a basic right, a matter of entitlement.  

This is where I begin to lose my patience. My finger finds its way to the trigger, final aim is taken.

"Get the hell off my property, and don't come back", I say.

"You're trying to impose a negative servitude on me", you say.

Conclusion to Physical Property

The point made by the allegory above should be obvious by now. The factory owner and a trespasser are disputing the use of physical machines. The trespasser offers increasingly absurd rationale in trying to legitimize his unauthorized use of the factory owner's property. The final destination of this philosophical approach is, and must always be, pure communism.

Introduction to Intellectual Property


The allegory above takes place in physical space. Now let us repeat the exercise in intellectual space.
We will substitute an intellectual factory in place of the physical factory; an intellectual machine for each physical machine, and an intellectual widget for each physical widget. Other than that, we will present the identical allegory.

Writing, recording, selling and distributing a song is just like building a widget factory, selling and distributing widgets. The crucial thing to remember is that a digital song file can function as both the consumer good (the widget) or as the producer good (a widget-making machine). If you want to understand what is really going on, it is essential that you keep these two functions separate in your mind.

A song is a widget. You get the widget in your ear, and for some reason, you like it. I write songs. I am in the business of designing and manufacturing widgets, in the hopes that you and others will like them enough to buy them. I write and record a song. This is like building a factory with widget-making machines inside.


Argument for Intellectual Property


Suppose I write a song. A digital song file is like a factory, because you can use it to mass-produce copies of the consumer good.  So in creating the song, it is as if I built the factory, and inside it I built 100 identical machines. I own the building, I own all 100 machines.

I realize that the potential reproductive capacity of my song is vast. However, making new copies entails the expenditure of further resources on my part. I make a decision to begin making a small number of copies at first, which is like plugging in just one machine in my factory, out of the many I could potentially use at some future time.

Machine #1 is plugged in and turned on. The rest of the machines (#2-100) are unplugged.  I am using Machine #1 to produce 48 song-copies / day.  I own each song-copy produced. I advertise, and sell song-copies on the market.

You are one of my customers. You like my song-copies, and so do your friends. You like them so much you decide to manufacture a whole bunch and pass them out among your friends. Unfortunately, you do not hold title to my song, and thus lack any legal access the machines necessary to manufacture song-copies. If you are to succeed, you must resort to illegal means.

When you make a song-copy without permission, it is like sneaking into my factory without permission, plugging in machine #97, turning it on, and making a few widgets. I catch you red-handed. Naturally, I draw my weapon and line you up in my sights, prepared to use rightful deadly force in defense of my property.

You attempt to argue your way out by claiming that you rightfully own the song-copies you made, because you didn't interfere with my making song-copies.

I cock my weapon, while explaining the fallacy in your position:

Machine number #97 can either be on or off. Just because it is off doesn't mean I am not using it. It just means I prefer that it be off right now. Since it cannot be both on and off at the same time, your turning it on interferes with my use.

We may extend this reasoning to include the entire factory. Each of the 100 machines can either be on or off. Thus there are 10,000 different combinations of "on" and "off" for the array of machines (10,000 different "states"). Although the state can be changed (by turning machines on or off), at any one point in time, the factory must be in one particular state, to the exclusion of all other possible states.

As factory owner, I have the right to decide which of the 10,000 possible states I prefer. If your action (turning on or off a machine) causes a different state than I desire, then you have interfered with my use, because it is not possible for my preferred state to exist at the same time as your preferred state.

You argue that I was making 48 song-copies / day before your action, and I am still able to make 48 song-copies / day after your action. You wonder how you could possibly be interfering with my use. I shift the aim of my weapon, and continue to explain:

The numbers chosen (48 song-copies / day, 100 machines, 10,000 combinations) are completely arbitrary. The principle would hold true if it was 26 song-copies / day, and 59 machines, and 3481 combinations. As the guy who built all this machinery,  I own 100% of all possible use, and that includes owning 100%  of all the song-copies you made.

You begin to tremble. You say you should own the song-copies you made, because you used your own labor.

That's true but completely irrelevant. You had no right to bring your "labor" anywhere near my machines. I step closer, focusing you in my sights.

Your eyes widen considerably. Smiling from ear to ear, you next claim that you gained ownership of Machine #97 YOURSELF, because you plugged it in. After all, a machine that is not plugged in is completely useless. You even say that YOU'VE done ME a GREAT FAVOR by increasing the overall productive capacity of MY OWN FACTORY. Think of how many more song-copies can be made now, you vomit, because Machine #97 is operating.

That's true but irrelevant. You had no right to do anything with my machines. Do you really believe that you gain ownership of a machine's productive capacity, simply because you did a tiny amount of labor in plugging the machine in? The person who built the machine owns it, not the person who plugs it in. How preposterous! At this point I seriously wonder if you are in any way reasonable.

Increasingly desperate, you suggest that I surrendered ownership of my entire song because I published my address on my website, and because I advertise. This is so ridiculous, I cannot respond. Instead, I demand back the song-copies that you made on my machine.

You inform me that you "gave the song-copies away to your friends". You also told your friends that they should come here, "plug some more machines in", and "make more song-copies" to give away to their friends. And if that pesky factory owner shows up, just use the above arguments.

In fact, tell him that this is now the PEOPLE"S SONG! As many machines as possible must be plugged in and operated, and all song-copies produced must be given away to the people. Song-copies are no longer a manufactured consumer item. Song-copies are now a basic right, a matter of entitlement.  

This is where I begin to lose my patience. My finger finds its way to the trigger, final aim is taken.

"Get the hell off my property, and don't come back", I say.

"You're trying to impose a negative servitude on me", you say.

Conclusion


 Anti IP is Communism.



Friday, May 16, 2014

Intellectual Communism - Butler Shaffer on Intellectual Property

Butler Shaffer has given "A Libertarian Critique of Intellectual Property".   Sadly, Shaffer's book is not libertarian, and has nothing to do with property. It ends up being another shallow propaganda rant for the Intellectual Communists.

After acknowledging, correctly, that a libertarian society is founded on respect for property rights, Shaffer sets out to prove that intellectual property (IP) is illegitimate, and nothing more than a tool of the coercive state. Seemingly wishing to analyze intangible goods on the same logical grounds as physical goods, Shaffer asks the pertinent question up front:
How do [property] interests come into existence? (p.17)
But Shaffer never actually addresses this question, certainly not from a libertarian perspective. He never mentions the concept of self-ownership, nor homesteading. He never discusses scarcity and rivalry, the very rationale for property.

Instead, he cites the U.S. Constitution, § 8.8, relating to the rights of authors and inventors, as if it gave birth IP in 1789. Having bypassed any discussion of the philosophy of property, Shaffer hurls hyperbole:
This constitutional authority [to govern copyright and patent] created, in a legal monopolist of violence, the power to create in others monopoly property interests that did not otherwise exist. (pp. 24-25)
This is just a naked assertion. Shaffer does not attempt, let alone succeed, at showing that property rights to intangible works cannot exist but for the state.  Instead, he simply assumes his desired conclusion, stating:
The incompatibility of such an interest with libertarian principles should be apparent. (p.25)
In a word Mr. Shaffer: No. No, the alleged incompatibility of IP with libertarian principles is most certainly not apparent. Whether or not IP is libertarian depends on our understanding of the rationale and ethics of property in general. If intangible goods can meet the critera, then IP is legitimate. If not, then not. 

Briefly, the rationale for property is avoiding conflict over scarce rivalrous goods. I have given my arguments for why and under what circumstances intangible goods must be considered scarce and rivalrous. But at no point does Shaffer even raise the issue. 

Briefly, the correct ethics of property are self-ownership and the homestead principle. I own my body, you own yours. The first person to discover un-owned things and transform them into usefulness is the rightful owner. Producer owns product. I have shown that intangible works are acts of homesteading. Shaffer does not even raise these issues, but instead offers: 
The common law system got it right: because the essence of ownership is found in the capacity to control some resource in furtherance of one’s purposes, such a claim is lost once a product has been released to the public. The situation is similar to that of a person owning oxygen that is contained in a tank, but loses a claim to any quantity that might be released—by a leaky valve—into the air. (pp. 25-26)
Shaffer's analogy to oxygen leaking from a tank into the atmosphere is ludicrous. Oxygen dissolves into the air almost immediately, and becomes indistinguishable from it. In stark contrast, an intellectual object like a song remains perpetually distinct from its surroundings in intellectual space. There are millions of copies of "Hey Jude" in existence, yet we still have no difficulty ascertaining its boundaries. We can tell where it begins, and where it ends. We understand what is "Hey Jude", and what is not "Hey Jude".

What philosophy holds that "the essence of ownership is found in the capacity to control some resource in furtherance of one's purposes" as Shaffer asserts? It certainly isn't libertarianism, and it certainly isn't the Common Law. Under Shaffer's theory, whoever is strong enough to take over a piece of land becomes the rightful owner.

The rightful owner is the homesteader, or those who have contracted with the homesteader in voluntary exchange. It's pretty basic libertarian stuff. Thus, it's downright astonishing that other Mises scholars let Shaffer get away with this shallow sophistry. David Gordon, who wrote the introduction, is one of the sharpest philosophical minds in libertarian circles, yet says nothing about Shaffer's unwillingness to adhere to even the slightest modicum of academic rigor. What is going on here? I digress.

Throughout his book, Shaffer repeatedly refers to IP as a "monopoly". This is the same thinly-veiled scare-tactic employed by Boldrin & Levine. Any property right is a "monopoly", if you want to abuse the term. Property, by definition, is the right to exclusive ("monopolistic") control. Shaffer badly wants to convince us that IP must be a state-granted "monopoly". But in the end, he doesn't even try. 
The notion that the anticipation of monopolistic rewards such as patents and copyrights is essential to the creative process, is negated by much of human history. I am unaware of any copyrights having been issued to writers such as Aeschylus, Homer, Shakespeare, Dante, or Milton; or composers such as Beethoven, Bach, Mozart, Wagner, or Tchaikovsky; or art- ists such as Van Gogh, Michelangelo, Da Vinci, Rembrandt, or Renoir. Were Leon- ardo’s or Gutenberg’s inventions, or the Egyptian pyramids, or the Roman aque- ducts, rewarded by state-issued patents? (p. 27)
Where is the evidence that ancient Egyptians had decent respect for property rights in land? And yet, they built the great pyramids, amazing physical structures that stand to this day. Clearly, great works can be completed prior to a general acceptance of property rights. Does it follow that property rights are therfore invalid? It's an obvious non-sequitur.

It's certainly true that great inventions and works of art occurred before patent and copyright. This is simply due to the fact that intellectual goods are a much more recent development than physical goods. The great increase in intellectual works in the late middle ages gave rise to the need for property rights in them, the same way that building houses and farms gave rise to the need for physical property rights long before that.

Steadfastly refusing to acknowledge even the possibility that IP could be based on actual property theory, Shaffer restates the the utilitarian argument, to then attempt to dismiss it:
But is the premise upon which IP has long been defended—i.e., its importance in making possible creations that benefit mankind—at all valid?  (p. 28)
[W]ho, amongst our earliest ancestors, were granted copyrights for [inventing the alphabet]?  (p.33)
Who, amongst our earliest ancestors, were granted land deed titles? None. Does this invalidate physical property? No. Recall that, in the beginning, Shaffer did suggest that he would apply a consistent standard in comparing physical to intellectual property. He obviously chose not to do so.

Throughout the book, given the lack of any mention of homesteading, or self-ownership, one gets the impression that Shaffer's bent is not particularly libertarian. Then he completely gives away the game, and his communistic mindset is revealed plainly: 
What anticipation of material rewards drove our prehistoric ancestors to make their handprints on the walls of ancient caves in Spain and France? Might they have had no other purpose than to reach their hands 40,000 years into the future to express to us that most fundamental spiritual need for transcendence: “I was here”? (p. 36)
I can think of no better expression of New Socialist Man than what Shaffer has written above. Forget your "anticipation of material rewards". Forget your property rights. It's all about your "fundamental need for transcendence". Wow. Just, wow. 

Having ignored his own question for the entire book, Shaffer restates it at the end:
As asked earlier, to the extent IP interests arise only by way of grants from the state, how can such claims be defended on the basis of libertarian principles grounded in individual liberty and respect for private property? (p.42)
Claims to property rights over intangible goods can indeed be defended on the basis of libertarian principles grounded in individual liberty and respect for private property. That is Intellectual Space.