Earlier quoted context omitted.
Are you assuming that the company would create a paid position if they couldn't have an unpaid internship position? I look at it on a pricing continuum. On the extremes, would you pay nothing to get work done that you considered to be important for your business? I mean I employ a number of people and I'm pretty sure I don't pay in the lowest quartile or even half of comparable skilled positions. It's almost the same…
I think our difference of opinion really boils down to our views of companies at large. Not every company is ethically responsible and many companies don't put enough thought into the hiring process at all. Once some kind of work becomes free, companies will do less and less diligence hiring for these position, simply because the value of the work becomes trivialized. This ends up hurting the workers and the company…
re: No Spec - yes, it's a position I sympathize with but at the same time, I don't believe any of these markets operate in a vacuum. Given the tensions in the spec market (or any service that seeks to be sold based on price/free), over time it seems almost inevitable that it attracts the bottom end of the market. It's the same reason why I try to make sure I don't underpay employees or service providers as the cost can be far greater in the long run if you do.
re: large amounts of data entry. Having had to do it at one time for a professor, though I was paid, being paid did make me feel as if I had an obligation to do it as right as possible without allowing bad data to fall through the cracks. I'd like to think I was better than that but frankly if I wasn't paid I suspect I would not nearly have been as careful. But that's the thing - sometimes you get what you pay for - and especially for the more menial tasks if you don't value the output that's fine but there was still a cost for the professor to manage the project and there was indeed value to the underlying data that he needed to be accurate. Indeed - often the cost of the overhead is a significant cost of the underlying wages - even more so I suspect for entry level positions.
Such is the case for managing volunteers or unpaid interns for which I don't really see too much of a differentiation. The way I see it is that unpaid work is essentially producing a sample of your work for sale. Sure you don't want to keep on doing it, but at least in a market these things tend to work themselves out. As for spec work (or any industry that provides free samples) - are also of the view that this should be made illegal?