nep-cul New Economics Papers
on Cultural Economics
Issue of 2020‒11‒23
five papers chosen by
Roberto Zanola
Università degli Studi del Piemonte Orientale

  1. Art, Finance and Logistics: Creative Combination for Economic Development By Thierry Houé
  2. The Bigger Picture: Combining Econometrics with Analytics Improve Forecasts of Movie Success By Steven Lehrer; Tian Xie
  3. Revisiting Harrison and Cynthia White’s Academic vs. Dealer-Critic System By Léa Saint-Raymond
  4. Copy me! By Baciu, Dan Costa
  5. The impact of mega sport’s events on tourism sector. The case of Euro 2012 in Pomerania region By Witthaus, Bjorn

  1. By: Thierry Houé (ICN Business School, CEREFIGE - Centre Européen de Recherche en Economie Financière et Gestion des Entreprises - UL - Université de Lorraine)
    Abstract: The research focuses on the setting-up of a free zone strengthening the economic diversification of the Grand Duchy of Luxembourg. Dedicated to storage, handling and trading of high value items and in particular artworks and jewellery. The Luxembourg Freeport was inaugurated in September 2014. Using the Resource-Based View as theoretical framework, the paper aims to show what combinations of resources can have a positive impact on economic activities in connection with the Freeport. The research confirms that these activities go beyond pure logistical and operational sights. The findings highlight a triptych of resources justifying this location in an environment where art, finance and logistics seem to create a virtuous circle benefiting economic development of the country and promoting the rise of clustering effects.
    Keywords: art,economic development,finance,logistics,resource-based view
    Date: 2020
  2. By: Steven Lehrer; Tian Xie (Queen's University)
    Abstract: There exists significant hype regarding how much machine learning and incorporating social media data can improve forecast accuracy in commercial applications. To assess if the hype is warranted, we use data from the film industry in simulation experiments that contrast econometric approaches with tools from the predictive analytics literature. Further, we propose new strategies that combine elements from each literature in a bid to capture richer patterns of heterogeneity in the underlying relationship governing revenue. Our results demonstrate the importance of social media data and value from hybrid strategies that combine econometrics and machine learning when conducting forecasts with new big data sources. Specifically, while both least squares support vector regression and recursive partitioning strategies greatly outperform dimension reduction strategies and traditional econometrics approaches in forecast accuracy, there are further significant gains from using hybrid approaches. Further, Monte Carlo experiments demonstrate that these benefits arise from the significant heterogeneity in how social media measures and other film characteristics influence box office outcomes.
    Keywords: Machine Learning, Model Specification, Heteroskedasticity, Heterogeneity, Social Media, Big Data
    JEL: C52 L82 D03 M21 C53
    Date: 2020–10
  3. By: Léa Saint-Raymond (ENS Paris - École normale supérieure - Paris - PSL - Université Paris sciences et lettres)
    Abstract: The field of art market studies is based on a famous opposition, coined by Harrison and Cynthia White in 1965, regarding the "academic" system, as opposed to the "dealer-critic" one. Published in 1965, their book, Canvases and Careers, Institutional Change in the French Painting World, was qualified by Patricia Mainardi and Pierre Vaisse, but their criticism dated back to the 1990s. In the meantime, the development of digital methods makes possible a broader reassessment of Harrison and Cynthia White's theory. Based on a corpus of Parisian auction sales, from 1831 through 1925, this paper uses econometrics to call into question the antagonism between the academic and the dealer-critic system, and comes to another conclusion: the academic system was crucial to determine the value of artworks and its efficiency did not collapse in the 1870s, nor in the 1880s, but rather after the Great War.
    Keywords: art market,Salon,econometrics,Harrison and Cynthia White,academic system,dealer-critic system
    Date: 2019–07–31
  4. By: Baciu, Dan Costa (Delft University of Technology)
    Abstract: This article is an introduction to and press review of the theory of cultural life developed by Dan C. Baciu and laid down in his research article "Cultural life: Theory and empirical testing" (BioSystems, 2020, 197.104208).
    Date: 2020–11–01
  5. By: Witthaus, Bjorn
    Abstract: The research reported in this paper focused on the relationship between UEFA Euro in Poland and the decisions taken by representatives of SMEs. In order to evaluate the link between organisation of the Euro 2012 in Poland and the entrepreneurs’ decisions, a questionnaire-based survey has been conducted. The main purpose was to identify the entrepreneurs’ stance with respect to the opportunities and threats connected with organisation of the Euro 2012. As many as 87% of the surveyed companies had not taken any action before the final tournament, even though they treated the event as a chance to develop. Because of football matches played in Pomerania the hotel business was an industry which expected the greatest benefits.
    Keywords: Euro 2012; hotel industry; Pomerania
    JEL: L83
    Date: 2020–11–04

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