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This is not a solution, but an explanation. There is nothing wrong with your Net MD. This is a standard feature Sony included to protect copyrights. An extensive search of available soft produced only one non-commercial product which promisses such transfer http://winnmd.net/ No idea if it works, it's a shareware.
You can't. it's an anti piracy measure built in at the hardware level.
Digital transfers are only possible from the host pc/Mac to the player and not the other way around. but you can transfer the audio signal by connecting the headphone output to the Mac audio input; look into the Minidisc player menu and you can set the headphone socket to "line" which bypasses the volume control circuits for better quality.