A simultaneous model of nonprofit symphony orchestra behavior

In this paper, we test a six equation simultaneous model of nonprofit symphony orchestra behavior. The model is based on Hansmann's theory of nonprofit behavior in the performing arts. The results show that the most prestigious of the orchestras practise a pricing policy that encourages patrons to make a tax deductible contribution. In this manner, they achieve a pattern of price discrimination that, instead of increasing revenues, reduces revenues. Following conditions suggested by Hansmann, we are also able to draw conclusions about the objectives of nonprofit symphony orchestras.     

Pricing as the Key to Attracting Students to the Performing Arts

There is a general assumption that young people do not attend arts events because ticket prices are too high. To test the validity of this assumption, a survey of students' attitudes toward attending the performing arts was conducted. The data revealed that whilst students are concerned about cost, the major barrier is the perception that arts events are boring. It was found that students will purchase tickets for arts events that are perceived as entertaining and allow socialisation. This work continues the discussion contained in the recently published paper by John W. O'Hagan on equal participation in the arts.     

Quality in the Performing Arts: Aggregating and Rationalizing Expert Opinion

The article is concerned with the issue of quality in drama, opera, and ballet, respectively. Relying on data from an expert opinion survey and from the statistical yearbook on theatres in Germany, the problem is addressed to what extent quality is linked to certain economic variables. After appropriately aggregating the ordinal expert judgments while controlling for expert-specific standards it is shown that this link is considerably closer for ballet and opera than for drama. Furthermore, in all three art forms positive but decreasing marginal returns of artistic expenses in terms of quality prevail.     

Beyond Rock and Roll: The Economic Impact of the Grateful Dead on a Local Economy

For-profit popular music concerts, a seldom studied event, may create sizeable economic impacts in a local economy. Using information from a survey of more than 1,000 concert goers to a Grateful Dead performance in Las Vegas and RIMS II multipliers, we estimate income and employment impacts. We conclude that the potential large spill-overs effects of such an event should not be ignored. This revised version was published online in August 2006 with corrections to the Cover Date.