Oh I guess I kind of assumed that was what they were doing, although I guess I didn't explicitly see that anywhere. If they really do lend more copies then they've purchased then IA is pretty clearly in the wrong.
They do that (or used to at least). Each book has a single scanned copy that only a singe person can have "checked out" at any given time. There's a waiting line you sign up for.
That's how they used to do it, but is that still the case after they introduced the emergency library? I thought they now lend unlimited copies of the book unless the authors opt-out, and imo it's a little bit legally shaky for them to simply go against the law unless you ask them not to?