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Price fixing just encourages piracy. A lot of people will just roll over and pay the inflated prices, BUT more and more will just say to themselves "I'll just pirate it instead".
I'm not saying this is the right thing to do but once people get into the the habit of pirating stuff and find out how easy it is, you've pretty much lost them for good.
So no, I don't believe the market will sort itself out, or at least not until the damage is done and a lot of damage is already done.
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