I agree with all of this, but what bothers me is that the record industry is using a form of reverse pie fallacy in which they claim that they would have had X amount of sales, if only those darned pirates hadn't stolen the music. A more sophisticated (but still fallacious) version goes: Album Y has been pirated Z times, therefore we lost Z * (retail price of the album).
This is blatantly wrong. They do not know that they would have sold X albums if it weren't for pirates. Furthermore, if a person pirates an album, it does not mean that they would have bought it if they couldn't pirate it or if they were more ethical.
The people I know who horde large amounts of music do it exactly because it doesn't cost them - if they had to pay for it they simply wouldn't have even close to that much music. They wouldn't go and buy all the same albums. They also wouldn't be enthusiasts at that scale.
This is blatantly wrong. They do not know that they would have sold X albums if it weren't for pirates. Furthermore, if a person pirates an album, it does not mean that they would have bought it if they couldn't pirate it or if they were more ethical.
The people I know who horde large amounts of music do it exactly because it doesn't cost them - if they had to pay for it they simply wouldn't have even close to that much music. They wouldn't go and buy all the same albums. They also wouldn't be enthusiasts at that scale.
tl;dr: Fallacies exist on both sides.