Piracy is not the function of "inherent" price. The author postulates some price like (MC + (FC/units)) * 1.15 (where MC is marginal cost, FC is Fixed cost, and units is units sold) below which is "fair" and people will not pirate and above which is "unfair" and people will pirate.

If this is the case, then people should be less willing to pirate a game that costs $millions to make than a game that costs $thousands because it is more "fair" to pirate a game that was made on a budget than a game with high fixed costs. I don't think that is the case. Rather, I think piracy is a function of how much a pirate values his time and effort and how much he likes the software product.