nep-cul New Economics Papers
on Cultural Economics
Issue of 2005‒02‒27
three papers chosen by
Roberto Zanola
Universita egli Studi del Piemonte Orientale

  1. Cultural Goods Production, Cultural Capital Formation and the Provision of Cultural Services By Sao-Wen Cheng
  2. Anticipating Artistic Success (or, How to Beat the Art Market): Lessons from History By David W. Galenson
  3. Listen to the Radio! Monitoring, Media and Capture of Public Funds in Madagascar By Nathalie Francken; Bart Minten; Johan F.M. Swinnen

  1. By: Sao-Wen Cheng
    Abstract: Cultural capital is assumed to benefit all members of society. It is accumulated through the consumption of cultural goods, cultural services are provided by cultural services industry; the stock of cultural goods is enlarged by the flow of new cultural goods created by individuals who are both consumers and creators of culture and whose utility is positively affected by the cultural goods they created. In the no-policy market economy, individuals tend to ignore the positive external effects of their cultural services consumption and creation of cultural goods on other individuals via augmenting cultural capital and cultural-goods stock. Consequently, less cultural capital and cultural-goods stock will be accumulated. The efficient allocation can be restored by introducing an appropriate subsidy that stimulates the consumers’ demand for cultural services, and the creation of new cultural goods, promotes the accumulation of cultural capital and cultural goods.
    Keywords: cultural capital, cultural services, cultural goods
    JEL: H2 H3 Z1
    Date: 2005–01
  2. By: David W. Galenson
    Abstract: The recent history of modern art provides clues as to how important artists can be identified before their work becomes generally known. Advanced art has been dominated by conceptual innovators since the late 1950s, and the importance of formal art education in the training of leading artists has also increased during this period. A few schools have been particularly prominent. Auction market records reveal that during the past five decades the Yale School of Art has produced a series of graduates who have achieved great success commercially as well as critically. Recognizing Yale%u2019s role can allow collectors to identify important artists before they become widely recognized, and therefore before their early innovative work rises in value.
    JEL: J4
    Date: 2005–02
  3. By: Nathalie Francken; Bart Minten; Johan F.M. Swinnen
    Abstract: Local capture of public expenditures is an important problem for service delivery and poverty reduction in developing countries. Standard anticorruption institutions may not be effective, as these tend often to be corrupt themselves. This paper analyses the impact of monitoring and information distribution through the mass media on local capture of public expenditures on education in Madagascar in 2002-2003. We use survey data to assess capture in both cash and in-kind programs, at district and at school level. We find that local capture can be successfully constrained through a combination of monitoring and media programs. In addition to monitoring by the beneficiaries (“from below”), central monitoring (“from above”) is important. More transparent funding mechanisms and access to mass media reduce capture. However, the impact of the media is conditional on the characteristics of the population. In communes characterized by high illiteracy, the impact of newspaper and poster campaigns is limited, and radios are more important to reduce capture.

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