That makes as much sense as saying that if it has no value to them, they wouldn't bother listening to it on the radio. Look at it this way...I have a lot of CDs I purchased and (legally) downloaded to my computer. Why? Because I could. They sound like what they are on the computer...squeaky disconnected bits. I don't listen to them, not at all.
Sure, maybe these vicious, nasty purloiners of quality sound do listen to it. But, if they do, they're more (not less) likely to become familiar with the performer and buy stuff. They'd be really likely to buy anything that was really good, on high-quality vinyl (producing music in waves, not blips), with all of the things I mentioned. Of course, they'd have to be educated first. This whole thing started because record companies wanted something easier to market and shelf.
The other issue someone brought up is out-of-issue music. The computer is where it is stored and found.
You assume people actually buy or don't buy things as a matter of finances. That's ridiculous in the US today. If people want something badly enough, they'll buy it. I don't here anywhere in your argument that the "music" today is actually worth paying for.
We have copyright laws for a reason - people who produce the music deserve to be paid. I don't buy the arguement that the MP3 downloads are great advertising - if the artists want to give away free samples, that's their business. Anybody who take it upon himself to do that for them is stealing from them (stealing their right to copy - copyright) and anyone who downloads illegally copied music is knowingly receiving stolen property.
If you think it's junk, don't buy it. If you want it, buy it.
People do buy things (or decide not to) as a matter of finances. They don't ask "can I afford to buy this CD and still eat," but they ask "is it worth $x to buy that, or would my money be better spent elsewhere. People do buy music today, so it must be worth paying for. Apparently it's not worth it to you, and I buy very little, so most of it is not worth it to me, but it is worth it to some people. And there are a lot of people who are content with the quality of the MP3 files, and many of them do record them to CD and avoid buying the music as a result.
I'm not a fan of the music industry or the way the RIAA does business in general, but they are right on this issue. I'm not crazy about the way McD's does business, either, and their food is junk, but I don't think that entitles me to free hamburgers.