This is not about economics. Maybe it's about teaching. Maybe it's about the internet. I only have anecdata, and it is compromised by sample selection bias. I don't have any theory, and I don't have a proposed policy.
I am temporarily back in my old job as associate dean. Part of my job is to deal with Alleged Instructional Offences. Most AIO's involve plagiarism. But this post is not about AIO's and plagiarism. It's about what I have learned from AIO's about how some (many?) students write essays.
The student is told to write an essay. The student goes on the internet and does a search on the essay topic, and finds some relevant sources. The student copies some paragraphs from those sources, and pastes those paragraphs onto a document. That is the student's first draft of the essay.
The careful student then re-writes each of those paragraphs thoroughly, so the wording is very different from the original, cites the sources properly, adds a short introduction and conclusion, plus a few sentences stitching the collage together, and hands it in.
(The students I see are the ones who aren't careful to do that second bit thoroughly. Usually because they are in a rush to meet a deadline. Maybe it seems pointless to them too.)
One professor used to tell his students not to use any secondary sources. He told them to read Plato (or whoever), and to write an essay about what Plato said. We would get lots of AIO's from that professor's students, because he told them that they were not allowed to write an essay the way they normally write an essay, so some of them did it anyway, but didn't cite their secondary sources.
My guess is that computers and the internet have made it easier for students to write their essays this way, and have made it more common.
I think that there's a problem with students writing essays this way, even if everything is properly cited.
I don't have any solutions.
Again, my anecdata is subject to an obvious sample selection bias. I don't see a representative sample of students. But despite my biased sample, I do get to see how the sausage is (sometimes) made.