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The Economic Impact of Counterfeiting and Piracy

image of The Economic Impact of Counterfeiting and Piracy

This study develops and applies a rigorous methodology to estimate the incidence of counterfeit and pirated items in world trade. This methodology can be used in the future to refine the assessment as the quality and quantity of data improve. The study also provides an analysis of the market for counterfeit and pirated goods and the effects on various affected parties, ranging from the owners of the intellectual property rights, to consumers and governments. The study also provides a number of in-depth snapshots of different industry sectors, highlighting how those sectors are affected by counterfeiting and piracy, and how they are responding.

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Improving information and analysis

Available information on counterfeiting and piracy falls far short of what is needed for robust analysis and for policymaking. This chapter therefore focuses on what could be done to improve and expand information on counterfeiting and piracy. The chapter also suggests how measurement techniques could be advanced in order to produce more accurate global and sector-specific estimates about the magnitude, scope and effects of infringements on economies. Finally, the chapter concludes that these three areas should receive priority: 1) improving information that is available from enforcement activities (i.e. customs and related law enforcement agencies); 2) developing a framework for collecting information on the effects that counterfeit and pirated products are having on the health and safety of consumers; and 3) expanding the use of surveys to collect basic information from rights holders, consumers and governments.

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