| Abstract: | This is a second in a series of two articles in which I challengethe collective administration of performing rights. In the firstarticle, published in a recent issue of this journal, I questionedthe natural monopoly paradigm that dominates the analysis ofcollective administration of performing rights. In this articleI demonstrate how, by lowering many of the transaction costswhich previously purported to justify the practice, new digitaltechnologies further undermine the justification for collectiveadministration. I also discuss whether market forces alone wouldtransform the market into a competitive one, consider possiblecontinuing roles for existing performing rights organizations,and compare the Canadian and the U.S. regulatory approachesto determine how conducive they are to such change. |
