FREEconomics?

Yes, I know. There are too many puns in the world of economics. This is what literary types resort to when we write about subjects far outside the realm of our expertise. The worst is, I can't even take credit for this particular punishment. (I'm stalling.)

Chris Anderson, editor of Wired and author of Free, wrote this article last year about why the cost of information and digital resources should be free. Music, books, newspapers, games--all should be, nay, will inevitably be, freely available to anyone with a computer and an internet connection. His argument is compelling and sensational and you should all read the article, if not the whole book. Although you can spend almost thirty dollars on his book at Amazon, Anderson lives us to the premise of his argument and offers his book, in its entirety, free on Scribd.

If, however, you're skeptical, you can read Malcolm Gladwell's rebuttal. Gladwell challenges all of the premises of Anderson's argument and, frankly, cuts it to shreds.

However, I can't help but be amazed that I found all this information--articles, reviews, the book itself--without paying a dime. The two economists/philosophers/erudite scholars can debate this until one or neither is proved right, but, as a lay person, I can't help but believe Anderson's prediction.

It seems to be a reflection of my generation's sense of entitlement to digital content. First it was music--sure, Napster may be a relic, but if you want free music, there are still plenty of options--now it's everything from iPhone apps to software to phone calls. The music industry, at least, has backpedaled. The iTunes store now offers individual song downloads for 99 cents. Many iPhone apps are also 99 cents.

The thing is, the difference between free and 99 cents is huge. In all my years as an Apple user, I have never paid for a song, a podcast, or an app. I have taken advantage of their free downloads, but this has never been incentive enough to pay for any of these things. Anderson's argument rests on his belief that a profitable relationship can be generated by giving away free products to consumers. This is a two step process: they give something away for free so that we will feel compelled to purchase something else.

In one model, he's correct. Assuming iTunes does begin giving everything away for free--the program itself has always been free--Apple will still make money from selling its computers, iPods, and iPhones. But how can this apply to book publishing?

Anderson practices one model: he offers his book for free online but still offers a paper version, to be sold for money, on Amazon. This action seems to be emphasizing that what you are paying for is paper and ink, not the information itself. Still, the book is selling well--over 6,000 copies sold since its release earlier this month. And, of course, with every book he sells and every download he gives away, his name recognition and fame grow, as does his marketability. If it's not one thing it's another.