The recent “Black Panther” blockbuster has sparked many discussions between economists, historians, and other brainiacs who don’t usually apply their intellectual prowess to the heroics of fictional pajama people.
The attention is well-deserved. The latest installment from Disney’s Marvel Studios continues to break record after record. Perhaps the biggest one so far is being the highest-grossing superhero movie of all time in the U.S., surpassing $1.2 billion at the global box office.
Of course, none of the praise would be possible if the movie wasn’t made in a country that protects intellectual properties, especially copyrights, more than any other.
In the movie, a hidden African kingdom enjoys technological superiority and unimagined wealth thanks to deposits of rare vibranium buried beneath it.
Economic planning that relies on the extraction of natural resources, like gold or oil, is very hit or miss, at times cursed, and eventually they run out. On the other hand, intellectual property rights are a very real vibranium that allow artistic works, such as “Black Panther,” to be valued in the billions of dollars. IP rights, in fact, enabled a one-time orange grove to mutate into a city synonymous with fame, fantasy, and wealth.
Fortunately, the ability to create artistic works and to invent life-saving medical remedies doesn’t require getting bit by a spider or being hit by an asteroid, it’s a universal human trait. Unfortunately, only a few countries incentivize the production of these magical works, and with a per capita income 13 times greater than those that do not, their people enjoy longer, healthier, and wealthier lives.
In fact, the highest-paid actresses and women in music copyright their works in the country that protects copyrights the most: the United States, according to the International Property Rights Index.
A real-world Wakanda is not far from fiction. Endowed with one of the world’s largest oil reserves producing nearly 3 million barrels a day, Nigeria is Africa’s most populated country and home to the world’s second-largest film industry churning out at least 1,500 films a year.
Dubbed Nollywood, the industry generates roughly 1.5 percent of Nigeria’s GDP and is the second-largest employer, after agriculture, responsible for 1 million jobs. That’s a stellar stat for the country the U.N. predicts will become the third-most populated country in the world by 2050.
However, those employees don’t get paid very well. A 2014 report from the World Intellectual Property Organization noted, “Within hours of a film’s release pirates are selling bootleg copies for a fraction of its retail price.” Experts estimate the Nigerian film industry could be losing between $5.5 million and $13 million a year due to piracy.
That cuts heavily into profits and investment. The IMF reports the most popular stars earn only between $1,000 and $3,000 per film, forcing creators to produce dozens of films a year instead of investing big dollars into Hollywood-style, long-term features.
Hope is on the horizon. New streaming services, including Netflix, but also local startups like irokotv which produces 200 films and TV shows a year, have exploded on the scene. These offer artists more secure licensing deals and consumers, local and from the diaspora, the opportunity to watch their favorite celebrities without violating the law and undermining the incentives for local content production.
The creative industries are the last refuge from the threat of automation and artificially intelligent iron men. Nigeria and other emerging economies with growing populations must invest heavily in cultivating the growth of IP-intensive industries. Not only do these industries pay more and employ millions, they allow individuals to participate in the advancement of scientific understanding and develop next-generation technologies.
It doesn’t require an IMF loan or a World Bank program either. The only major policy shift required in Nigeria, and the Nigerian Copyright Commission has made a start, is a dedicated commitment to protect intellectual property and private property from theft. Only when property is protected can its true value be realized in the marketplace, rewarding producers and consumers alike.
Philip Thompson is a fellow with the Property Rights Alliance, an affiliate of Americans for Tax Reform.
