Yeah, you’re right about there being some hypocrisy there. People mostly didn’t care about the full extent of copyright, except where it was useful to them. In the Anglosphere at least, I think some degree of unauthorized copying (i.e. piracy) and derivative (fan) works are widely accepted.
But there are some parts where people are consistent. Plagiarism (i.e. falsely claiming that it’s your own original work, instead of giving credit to the other creator) is widely opposed.
The money issues are important, but it’s only one piece of the puzzle. I don’t think people go into art expecting to get rich—the “starving artist” is a classic character, after all. I think it’s more about social status and recognition—having a skill that people look up to you for, and need you for. Being able to call yourself an “artist”, where your clients cannot. And that social status is undermined if some “mere machine” can produce something seemingly-similar to your work.
(Not to say that “your self-worth is dependent on you having some rare skill” is limited to artists.)
This paragraph ends in the middle of a sentence. Did you have something more that you wanted to say here?