The RIAA and the MPAA are the true hamperers of innovation, their "copyright tax" based business model does nothing to stimulate cheaper products and a growth in the market place, they still live in the era of the pretend monopoly where they try to create artificial supply issues to inflate the prices of the products they distribute.
Did you all notice how the wormtongued representative now states how the customers should not be able to sell their "licenced digital content" , most folks believe they are paying for the content not licencing it, whats next a new tax on pay per play to yet further drag down the already black reputation of those using the broken monopolist copyright model ?
As for creators being put off of creating I haven't ever heard anything so ignorant, creative folks enjoy creating and they also enjoy getting a living from doing something they enjoy but the fact of the matter is simply this, they don't do it just for the money, that aspect of life is one focused on only by the fat-cat middle man, or woman and the more workless revenues they receive the more a selfish greed overcomes their rational thoughts of being a useful member of the planet