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Yeah, except for when you want to see more of that show but it had low ratings because people downloaded it, preventing more seasons from being made.
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TBH the popularity of a show is detriment by much more than just ratings. Successful shows like Lost, CSI, Prison Break all have a fan base that extends way past the network it's shown on. Statistics on the website, followers on a Facebook group, even fan made clips on Youtube and their responses all give a very accurate representation on how popular a show is and if it's seen by enough people.
The only issue there really is with downloading a TV show is that the network could argue they miss out on advertising revenue, which is a valid point. However streaming versions of episodes that have advertisements are popping up more and more these days on the network websites, so it's a bit double sided.