For that matter it's similar to what TV stations do. Now a key difference is that TV usually pays for the original content, but from the consumer's point of view it's the same: find OC, slap your station logo in the corner, and surround it with advertising. All those clip shows like 'craziest police chases' and 'worst TV moments' rely on this model. Hell, there's whole channels that rely on it...I saw one recently called True TV or similar that seemed to consist of nothing but recycled news footage (mostly crime/emergency drama', library sound effects, and some 're-actors' - industry-linked professionals who sit there making pithy or occasionally witty comments in hopes of leaving whatever line of work they are in and becoming z-list celebrities instead.
This seems to be endemic in American screen culture, slightly less so in the print world. In contrast, European copyright has a side feature called 'moral rights' 'droite d'auteur' - even if you sell the copyright, the original author always retains the right to be identified as the author. There's no financial obligation associated with this for the copyright owner, but it ensures the creator remains associated with the work. My limited recall is that in commercial copyright infringement disputes, courts take a strict approach to evaluating lost profits, but in cases where someone has stripped out the identity of the creator there are often additional sanctions, since it's considered an attack upon the creator's ability to earn a living in the future by being identifiable from their existing work. I'd need time to dig up citations for that, so don't rely on it. but I do think the basic concept is a good one.