The Law and Economics of Information Overload Externalities
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The Law and Economics of Information Overload Externalities
The Law and Economics of Information OverloadExternalitiesFrank PasqualeEnvironmental laws are designed [0 reduce negative externalities (such as poll The Law and Economics of Information Overload Externalitieslution) that harm the natural environment. Copyright law should adjust the rights of content creators in order to compensate for the ways they reduce the usefulness of the information environment as a whole. Every new work created contributes to the store of expression, but also makes it more diffic The Law and Economics of Information Overload Externalitiesult to find whatever work one wants. “Search costs" have been well-documented in information economics. Copyright law should take information overloadThe Law and Economics of Information Overload Externalities
externalities like search costs into account in its treatment of alleged copyright infringers whose work merely attempts to index, organize, categoriThe Law and Economics of Information OverloadExternalitiesFrank PasqualeEnvironmental laws are designed [0 reduce negative externalities (such as poll The Law and Economics of Information Overload Externalitiess of navigational tools and filters that help consumers make sense of the ocean of expression copyrightholders have created.By modeling information overload as an externality imposed by copyrighted works, this article attempts to provide a new economic justification for more favorable copyright trea The Law and Economics of Information Overload Externalitiestment of categorizers, indexers, and reviewers. Information overload is an unintended negative consequence of copyright law’s success in incentivizingThe Law and Economics of Information Overload Externalities
the production and distribution of expression. If courts grant content owners the right to veto categorizers’ efforts to make sense of given fields oThe Law and Economics of Information OverloadExternalitiesFrank PasqualeEnvironmental laws are designed [0 reduce negative externalities (such as poll The Law and Economics of Information Overload Externalitiesthe efforts of those who make that progress accessible and understandable. Categorizers fill both those vital roles.The Law and Economics of Information Overload ExternalitiesFrank PasqualeThe Law and Economics of.................................1Information Overload................................. The Law and Economics of Information Overload Externalities....1Externalities............................................1The Law and Economics of Information Overload Externalities 2The Law and Economics of IThe Law and Economics of Information Overload Externalities
nformation Overload Externalities 3I.Introduction.....................................3II.Dilemmas of Categorizers.......................12A.Case StudThe Law and Economics of Information OverloadExternalitiesFrank PasqualeEnvironmental laws are designed [0 reduce negative externalities (such as poll The Law and Economics of Information Overload Externalities...........................26III.From Maximizing to Optimizing Expression......331. The Maximizing Paradigm................34B. An Ecology of Expression......................41a. Paradoxes of Abundance............451. Information Overload as Externality....55IV.Overcoming Overload................... The Law and Economics of Information Overload Externalities........62i.The Value of Categorizers................63ii.The Current Circuit Split on Categorizers.68iii.Directions for the Future..............711CaThe Law and Economics of Information Overload Externalities
tegorization as Privileged Fair Use..722Misuse Defense........................76V.Conclusion....................................782The Law and EconomiThe Law and Economics of Information OverloadExternalitiesFrank PasqualeEnvironmental laws are designed [0 reduce negative externalities (such as poll The Law and Economics of Information Overload Externalitiesny scarcity of expression, but rather because of its abundance. Over 100.000 books arc published in the United States each year, thousands of movies and CD’s arc released, and the amount of textual, musical, anti visual works on the internet continues to rise exponentially. Whose work can we tntst? The Law and Economics of Information Overload ExternalitiesAnd who knows what of it will rank among the best that has been thought and said—or even provide a few moments levity now?1 *’♦Associate Professor. SeThe Law and Economics of Information Overload Externalities
ton Hall Law School. Many thanks to my hosts at the St. John’s University Distinguished Speakers Colloquium and the Seton Hall Law School Faculty RetrThe Law and Economics of Information OverloadExternalitiesFrank PasqualeEnvironmental laws are designed [0 reduce negative externalities (such as poll The Law and Economics of Information Overload Externalities Frischmann. James Grimmelmann. and Charles Sullivan provided valuable comments on the paper. I also wish to thank participants at the May Gathering on Methodology in Legal Scholarship (at the University of Virginia) for their comments; Gregory Klass. Christopher Elmendorf, and Jedediah Purdy provid The Law and Economics of Information Overload Externalitiesed particularly helpful critiques. Thanks also to Mohammed Az.ee/, Sc ott sholder. and Matthew Tuttle for excellent research assistance.The Law and Economics of Information OverloadExternalitiesFrank PasqualeEnvironmental laws are designed [0 reduce negative externalities (such as pollThe Law and Economics of Information OverloadExternalitiesFrank PasqualeEnvironmental laws are designed [0 reduce negative externalities (such as pollGọi ngay
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