The willingness to pay (WTP) for legal music of the school of economics in the DLSU community

• Main Authors: Ang, Brandon Lloyd, Castillo, Jeanne Marie Vernice, Fernandez, Joyce Ann, Go, Gianfranco
• Format: text
• Language: English
• Published: Animo Repository 2010
• Online Access: https://animorepository.dlsu.edu.ph/etd_bachelors/14744
• Institution: De La Salle University

Conventional wisdom among copyright piracy literature holds that economic incentives and enforcement are both effective strategies and work hand-in-hand in reducing the occurrence of piracy. And yet, the underlying factor of these said strategies id the ability of the media industries to influence an individual’s willingness to pay for legal purchases even when illegal versions exist (Chiang and Assane, 2008). The group aims to estimate the willingness to pay for legal music of the SOE, investigates the significance of its various determinants specified across the copyright literature and examines various insights for policy recommendations. Using a dataset generated by a survey among the newly established School of Economics (SOE) within the De La Salle University Community, we build both a parametric and non-parametric methodology to fulfill its objectives: (1) a two-equation model that follows the work of Chiang and Assane which is estimated through the two-step Heckman procedure and; (2) an application of the Spearman Rank Correlation coefficient utilizing likert-scale questions. We conclude that the average willingness to pay of pour respondents for legal music CDs stand at PHP 302.6857, which is relatively higher than the prices of legal music CDs.