Piracy can be measured in two ways, with the preferred method by the U.S. Business Software Alliance and Entertainment Software Association estimating the number of pirated copies and their retail cost, though these numbers are questionable. The document discusses different ways to measure piracy, questioning the method used by certain groups that estimates pirated copies and retail costs.

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 The first questions that should be asked about piracy are “how
bad is it?” and “whom does it affect?” There are two completely
different ways to measure piracy.
 The first is based on the estimated number of pirated copies of a
game or other work and what those items would cost at retail.
 This seems to be the preferred model used by the U.S. Business
Software Alliance (BSA) and Entertainment Software Association
(ESA). These numbers are quite suspect on a number of counts.
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