Re: If you can't get rid of it...Tax it
The taxes are much higher in Europe, and the industries under heavy taxes are still making money, since its the consumer that will end up paying for it. However there is no specific "porn" tax.
Also VAT in Europe is 13-25%, and still porn is being sold :-)... ofcourse the profit margins are a bit lower than in the US, which makes me belive that the affiliate model will hurt the most, if there was a specific "porn" tax - not sure that we can just rise prices with 25% (especially high priced monthly memberships) without it having a effect on subscription length, chargebacks etc.
Now the AVS rule could be the real problem - German porn took a hit, when their politicians had the same idea.
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"Chaos is the law of nature, order is the dream of man."
~Henry B. Adams (Historian) 1838-1918
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