Disclaimer: No, I didn't RTFA, but I've worked in an academic Library for a good portion of my Systems Admin career (and for a short time before it).
I would say that any higher level degree is likely to result in a fair amount of copying. Any seminar or research methods course is going to have the student doing a fair amount of copying of materials from periodicals. Just think of anything requiring a literature review ...
However, this is the Internet age. A majority now of what most students would be copying from is not actually a physical journal or book, but highly likely a whole mess of electronically available materials (that is, as long as your university library is properly funded and properly run). From the view of the publisher, this counts as copying.
And while a lot of "hard" science undergraduate degrees almost certainly can be taught pretty much from a book (unless you're lucky enough to be involved in a class that covers some cutting edge, only available in journal, just researched stuff), a lot of the rest of a university involves writing the equivalent of book reports/critiques that require reading someone else's reports/critiques, or literature (meaning journal articles about something, not just "classical literature") research ... and maybe I'm just old school, but I can easily see someone wanting to print the stuff out for reading later (yes, I know it sounds archaic, but while writing my papers, I had a majority of my research not on the screen in front of me, but scattered around me in stacks of printed out articles).
Two of my early pre-sysadmin jobs involved the "Reserves" and "Inter-Library Loan" sections of the Library, and I can tell you that there is no end to the amount of copies of (mainly) articles requested either (particularly in the case of Reserves) by professors for students as part of the "required reading" for a given course, or by professors and students as part of their research. Yes, in both cases, in the past decade there have been serious moves to "electronify" the results of these requests, but you can be sure A) a fair number of the people are printing copies of these things off, and B) the publishers are already considering the electronic versions as non-Fair Use, subject-to-copyright "copies" of the materials.
So, I think one of the key things here to keep in mind is that these people probably consider any paper version of something not on the media on which it was originally produced (examples being a print out of a PDF from an electronic resource, or paper spit out by a copier of an actual hard copy of the journal) to be a "copy". And they want their $2.
They should not win this. These things should be covered by Fair Use and if they win this, then they'll start wanting their $2 for every electronic copy of a PDF downloaded from an electronic resource - no matter what the use agreement for said resource says.
