Gordon Campbell | Parliament TV | Parliament Today | News Video | Crime | Employers | Housing | Immigration | Legal | Local Govt. | Maori | Welfare | Unions | Youth | Search


Copyright term extension likely to benefit NZ

Copyright term extension likely to benefit NZ

The extension to New Zealand’s copyright period from 50 to 70 years in the TPPA agreement is likely to generate a net benefit to the New Zealand economy.

This according to prominent New Zealand economist Dr George Barker who says estimates in the so-called Ergas Report of the extension costing New Zealand $55 million a year are incorrect.

Dr Barker’s report prepared for Recorded Music New Zealand says the seven-year old Ergas Report contains substantial mathematical errors for both music and books.

He also says the report denies there are downstream benefits from the copyright term extension that will incentivise investment and provide finance for new works.

“Unfortunately the flawed Ergas research has now been widely circulated and is published as fact on the website of the Ministry of Foreign Affairs and Trade. It has also been widely reported in the media,” Dr Barker says.

Since 7 March, the Government has been providing information about the TPPA to the wider public and business. Recorded Music is concerned the flawed Ergas Report information has again been the focus of the events.

Dr Barker reviewed the Ergas Report with assistance from his colleagues Professor Stan Liebowitz and Dr Alejandro Zentner of the University of Texas at Dallas at the end of 2015.

In his preliminary report, Dr Barker notes:


• Ergas’ estimate of the total net cost for music of $17 million per annum is impossible, given it is more than 10 times the value of total sound recordings sales of the 50 to 70 year vintage in 2009 (at the time of the Ergas report).
• Ergas’ import transfer cost estimate of $18 million is more than 200 times the likely import transfer cost using Ergas’ methodology - which would at most be around $78,000 per annum for music (based on NZ wholesale data).
• Ergas made the same cost estimate errors for books.
• The NZ Government then copied the music number error for films.


• Ergas claims there is no offsetting benefits from increased investment and creative output over time with term extension. This is despite well published theory and evidence telling us that:
o The increased expected returns to investment from term extension will encourage or incentivise investment in new works, while
o The increase in revenues generated by term extension will be used to finance new works.

Recorded Music New Zealand CEO, Damian Vaughan says Dr Barker estimates there is more than likely a net benefit of term extension to the NZ economy and that the proposed eight year phase in should be dropped.

Mr Vaughan says Recorded Music will be working with Government on ensuring National Interest Analysis on the TPPA is a true and accurate record of the benefits from copyright extension. “We welcome a robust, open and transparent process with the minister and the ministries.”


© Scoop Media

Parliament Headlines | Politics Headlines | Regional Headlines

Gordon Campbell: On A Trade War With China

As things currently stand, the White House has NOT included New Zealand on its list of allies whose steel and aluminium exports to the US will be exempted from US President Donald Trump’s recent hike in tariffs.

Given that the tariffs in question have been imposed under section 232 of the 1962 US Trade Expansion Act (whereby the national security of the US is supposedly at stake) this American failure to treat New Zealand as an ally is historically significant. After all, our troops have fought and died alongside the US in every major global conflict – the two world wars, Korea, Vietnam, Afghanistan etc – for the past hundred years or more. More>>


Gordon Campbell: On Credibility In Politics

Credibility is always such a fickle, unstable element in politics. You know it when you see it, though. More>>

A Step Closer: Regional Fuel Tax For Auckland?

Legislation to allow regions to apply for a regional fuel tax, initially for Auckland, will be introduced to Parliament today, Transport Minister Phil Twyford has announced.More>>


SSC Findings: DHB Exec Misused Travel Funds

A State Services Commission investigation into the expenditure of former Waikato District Health Board chief executive Dr Nigel Murray found that more than half of his claims for travel and accommodation were unjustified.More>>


RNZ Explainer: Why You Should Care About Cambridge Analytica

Facebook's shares have lost billions of dollars in value after something to do with data used by Cambridge Analytica. Confused? Here's what it means, and what could come next. Cambridge Analytica is a London-based consulting firm. It is under pressure over allegations it uses illegally obtained data and social media manipulation to influence elections.More>>


Further $700,000: Teacher Supply Initiative Extended

Acting Minister of Education Tracey Martin has announced a further $700,000 to help more teachers into classrooms, with the extension of the Teacher Education Refresh (TER) Programme... More>>


Dotcom v Obama: High Court Declines to Subpoena Obama

The former President of the United States of America, Barack Obama, is in New Zealand for three days. The plaintiffs have filed an application for an order for his examination before a Judge while he is in New Zealand... More>>


Supporting Disabled People Into Work: Guidelines Launched

The Minister for Disability Issues Carmel Sepuloni and Minister of Employment Willie Jackson welcome the launch of the new Employment Support Practice Guidelines: How to support disabled people to get the job they want... More>>


OIO and Forestry: Regime Amendments Proposed

Hon David Parker Associate Minister of Finance 20 March 2018 Amendments proposed to forestry rights screening regime Investments in sensitive land involving forestry rights will be brought into the scope of the Overseas Investment Act ... More>>





Featured InfoPages