Gabe Newell of Valve Software has famously said that piracy is a distribution problem, and I fully believe he's right.
> “The easiest way to stop piracy is not by putting antipiracy technology to work,” Newell said. “It’s by giving those people a service that’s better than what they’re receiving from the pirates.”
Steam single-handedly killed even the temptation to pirate games for me, because it's ridiculously convenient to just fire up Steam, click a button, and have the game delivered to my desktop at multi-megabit speeds without any obnoxious DRM getting in the way of me being able to play. Pandora, Spotify, and most recently Google All Access make music piracy a complete non-issue for me, because I don't want to have to spend time chasing down a song or even futzing with iTunes - I just punch something into search and it's playing. Netflix and Hulu provide so much content that I can't watch all of it - while they don't always have the most recent content, they have a lot of it.
Provide me a service that is a. affordable (Steam Sales and $8/month for movies or music are excellent models here, content folks) b. convenient (click button, enjoy content), and c. reliable (no explanation necessary) and I won't have any incentive to pirate content.
I'm convinced that the people who can afford stuff but pirate it anyway do so because of distribution problems in getting that content legally. The people who pirate stuff who can't afford it, or wouldn't buy it if they can are arguably even a net benefit - they aren't lost sales, but they increase the reach and visibility of the product. In either case, it's not really worth worrying about them (though the studios sure do love to gripe about them as if they're all lost sales), which leaves us with one very easy solution - have the best distribution channel available, and people will pay for it. At that point, piracy is about as solved as it'll get from an economic standpoint.