p>the privacy issues which arise from the market for a digital good or service.
The goal of this assignment is to (1) analyze either
(a) the legal and illegal aspects of the market for a digital good or service or
(b) the privacy issues which arise from the market for a digital good or service and then to
(2) evaluate the regulation which government could or should provide in that market.
Your paper should include an analysis of the nature of the product: is it an intellectual property product? Did the digital product replace an earlier non-digital consumption product? If so, did the characteristics of the good change between the non-digital and the digital form?
(1) If your product’s problem is piracy, what are the costs to the consumer of illegally obtaining the product? What are the costs to the producer of trying to block piracy?
(2) If your product or market is used in other illegal activity, describe why criminals use that product and what advantages and disadvantages it has compared to non-digital products for criminals. Does the product have legal uses and legal users also?
(3) If your product has privacy issues, describe the type of data or information which is collected and who has access to it (legally or illegally). What advantages and disadvantages does the product have compared to similar non-digital products.
Your paper should evaluate the current government regulations for the market or product. If there is no regulation specifically for the product, which existing regulations for similar products could be relevant? (i.e. Should a facebook post be treated like a diary entry or a classified ad in a newspaper? ) What are the economic impacts of the current regulations? Are there ways in which different regulations could improve social welfare?
A very good paper will compare the digital product to similar (or previous) non-digital products and explain how the digital product has changed the need for regulation.
Please include as much data about the market as you can. I realize that data about illegal or black markets is difficult to find. Graphs or charts showing consumption or production data over time would be very informative. (You may not simply copy others charts or graphs – you must find the source data and make your own!)
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