We don’t need a solution, “free market” or otherwise.
Technology, having made per-copy cost now zero and discovery impossible without recording all of everyone’s activities, has rendered copyright obsolete. This happened before the internet.
Musicians make money from the live show and film exhibitors from the theater experience. The people cut out are producers of the “hardcopy” who think they should “own” a copyright. And that’s fine. We don’t need them anymore.
Artists have the exclusive right to money generated by their art. Free trading generates no money, so there is no money to be had. They or their putative agents have no right to look at everything a person does online or everything on their hard drive in order to extract it.
Where “copyright” got its start.
http://en.wikipedia.org/wiki/Licensing_of_the_Press_Act_1662
The Licensing of the Press Act 1662 is an Act of the Parliament of England (14 Car. II. c. 33), long title “An Act for preventing the frequent Abuses in printing seditious treasonable and unlicensed Bookes and Pamphlets and for regulating of Printing and Printing Presses.