|
In a perfectly competitive market, Marginal Revenue = Price = Marginal cost.
With nearly infinite demand and a huge economy of scale, the marginal cost = price approaches zero.
Right now the only reason people are paying for porn AT ALL is because of asymmetrical information.
What you are suggesting is collusion, but game theory shows that there will always be someone with a business model built on giving away at least a certain amount of (legal) content for free.
So, long story short, besides all of the illegal business models (which will not persist in the long run), free models will always exist along side paid models and consumers will always pay for something they value.
__________________
I died.
|