« AnteriorContinuar »
OF THE COIMITTEE ON THE JUDICIARY
September 11, 1995
This Technical Appendix explains, supports and amplifies the data contained in the "Statement on Sec. 115 of H.R. 2223 of John Desmond Glover, Director, Cambridge Research Institute" before the Subcommittee on Courts, Civil Liberties, and the Administration of Justrice of the Committee on the Judiciary, U.S. House of Representatives, September 11, 1975. The statenent was based upon a study of economic effects of proposed changes in provisions of the copyright law relating to the licensing of copyrighted music for recordings. This was the second such study conducted in ten years.
The material that follows is organized into two main sections. The first section supports exhibits in the Summa ry Statement (pages 1 to 31 herein) presented orally by Dr. Glover to the Subcommittee. References are provided to specific sections of the full statement which explain the conclusions stated in the Summary exhibits. The second section supports exhibits in the full statement, as needed.
CONTENTS OF TECHNICAL APPENDIX
(organized by exhibit supported)
A. No Economic Justification for an Increase
Price Per Tune is Down; Copyright Owners' Share is Up
and Median Family Income, 1963-1972
Rates Paid are Statutory Rate and Standard Variations
FULL STATEMENT EXHIBITS
1. STATUTORY LICENSE ROYALTIES AND RECORD COMPANY PRICE: 1909 vs.
1963 vs. 1972
STATUTORY LICENSE ROYALTIES PER TOP 150 LP ALBUMS IN 1973 AT VARIOUS 158
MUSIC PUBLISHING INDUSTRY AND RECORDING INDUSTRY, 1971-1974
160 PROFITS FROM RECORDS MADE AND SOLD IN THE UNITED STATES, 1971-1974
DS MADE AND SOLD IN THE UNITED STATES. 1971-1974
160 COST TO CONSUMERS OF A 3¢ STATUTORY LICENSE RATE
11. IMPACT OF A COPYRIGHT FEE INCREASE ON JUKEBOX OWNERS
COMPANIES IN 1974 PERIODS
For data supporting material in the "Summary Statement", see the appropriate sections in the full statement (pp. 33-118) and in this Technical Appendix.
Exhibit A -- No Economic Justification for an Increase
This exhibit summarizes the conclusions of the full statement. The basis for the finding that copyright owners' income has outpaced inflation is provided in Section 1.B. of the full statement, pp. 37 to 43. The impacts of an increased statutory rate are spelled out in Section II.A. to II.D. of the full statement, pp. 56 to 81.
Exhibit B -- Price Per Tune is Down; Copyright Owners' Share is Up
This conclusion is based on Exhibit 1, p. 36. It should be noted that the price per tune received by record companies has declined in current dollars since 1909, even though today's product is far superior in quality.
Exhibit C -. Mechanical
ties Have More Than Doubled
The data in this exhibit are based upon Exhibit 3 in the main report, p. 39. The source of the figures is CRI's financial survey of recording companies, which is explained in detail later in this appendix under "Exhibit 5".
Exhibit D.. Mechanical Royalties Outpace Inflation and
Median Family Income, 1963-1973
These data are also based on Exhibit 3 in the main report, p. 39. Data pertaining to the Consumer Price Index and Median Family Income are from the Statistical Abstract of the United States.
Exhibit E -- Mechanical Royalties Paid Per Released Tune
Outpace Inflation and Median Family Income, 1963-1972
These data are based upon the analysis in Exhibit 4 of the main report,
p. 43. The assumptions behind the exhibit are discussed later in this technical appendix under "Exhibit 4".