The productivity of performing art organisations versus labor costs

Motivation: The study of the problem of “cost disease” contributes to the possibility of creating a model for effective subsidy to cultural institutions operating in the field of performing arts from public funds. The study also forms a part of a broader reflection on the values of culture, the humanism of culture and the economy in general. Aim: This article is to examine the connection between productivity and labor costs in public theatres in Poland. We investigate what the level of productivity depends on. We check whether it is based on costs or the so-called income gap or another factor. We verify whether costs in PAOs in Poland increase according to the theory of Baumol’s cost disease and whether labor costs are particularly significant in total costs. Results: Labor costs should be taken into account when subsidizing performing art organizations, as productivity growth depends on having funds to cover labor costs and increasing employment

Financing rules of the activity of cultural institutions in the context of economic efficiency

Motivation: The authors are interested in the problem of financing of theatres as cultural institutions also because of the arising conflict between the objectives set by the organizers of the institutions, and those managers and artists consider the most important in the public cultural institutions.Aim: The aim of this article is the efficiency evaluation of statutory subsidies granted to cultural institutions in the context of subsidizing rules of these institutions.Results: The system of financing municipal cultural institutions is predominantly based on statutory subsidies from the organizer’s budget. Therefore, statutory grants play an important role of creating income and of stabilizing finances of cultural institutions. Their share in the total amount of revenue of the examined cultural institutions persisted at a high level throughout subsequent years of the study period. Although statutory subsidies significantly improve the financial situation of cultural institutions. Those which are using subsidies to a lesser degree, and those whose important source of financing their activities were their own revenues, are characterized by higher efficiency. Unfortunately, the analysis of the data indicates that there is a very small group of institutions characterized by a high indicator of financing

Cultural institutions in Poland: the nature of their organisation and financing

Motivation: Previous research regarding the external conditions of public cultural institutions inspired us to analyse the internal conditions of individual institutions.Aim: The purpose of the current study is to answer the question of whether and how the internal regulations pertaining to theatres based on financial, organisational, and creative autonomy affect the financial and substantive performance of public cultural institutions. In order to achieve the aim of the study and answer the research question, we analysed cultural institutions in terms of their system. Additionally, the financial and substantive situation of the studied theatres was analysed.Results: The lack of clear process and entity requirements affects the dependence of the performance of public cultural institutions on individual, internal organisational arrangements, suggesting the need to unify these processes through a reform of these institutions. Attention should be paid to the transparency of public spending, organizational culture and effectiveness of public cultural institutions. In the current legal status, the conducted showed a large discrepancy in the results of the theatres studied

Financing rules of the activity of cultural institutions in the context of economic efficiency

Motivation: The authors are interested in the problem of financing of theatres as cultural institutions also because of the arising conflict between the objectives set by the organizers of the institutions, and those managers and artists consider the most important in the public cultural institutions.Aim: The aim of this article is the efficiency evaluation of statutory subsidies granted to cultural institutions in the context of subsidizing rules of these institutions.Results: The system of financing municipal cultural institutions is predominantly based on statutory subsidies from the organizer’s budget. Therefore, statutory grants play an important role of creating income and of stabilizing finances of cultural institutions. Their share in the total amount of revenue of the examined cultural institutions persisted at a high level throughout subsequent years of the study period. Although statutory subsidies significantly improve the financial situation of cultural institutions. Those which are using subsidies to a lesser degree, and those whose important source of financing their activities were their own revenues, are characterized by higher efficiency. Unfortunately, the analysis of the data indicates that there is a very small group of institutions characterized by a high indicator of financing.</p

Productivity of public theatres in the times of COVID-19 : the example of Polish theatres

PURPOSE: Our article aims to analyze the changes in the productivity of cultural institutions during the Covid -2019 pandemic. We studied how much productivity has changed and saw which indicator was targeting the influx. The number of visitors in the theatre in a given year is taken as productivity. The research period is the years 2016-2020. We hypothesize that the productivity index in 2020 depended on most on the technology change.DESIGN/METHODOLOGY/APPROACH: The proper study was focused on Polish Public Theatres. The verification of the assumptions was conducted through the Malmquist index -Total Factor Productivity.FINDINGS: As a result of the research, it was found that the hypothesis was positively verified. The value of the Malmiqusita index shows significant changes in productivity between 2020- 2019 and 2019-2016. In particular, the considerable increase of the technological progress index is worth noting. In 2020-2019, the annual change regarding this index was as high as 1208.8%, while the technical efficiency decreased to 13.9% and TFP was 168.2% - the highest level over the whole period considered.PRACTICAL IMPLICATIONS: We noticed that for individual theaters, the productivity results were different. It means that not all of the theatres studied coped with the new conditions. Depending on the organization, the effects of using digital technologies may be different. This proves that each unit should be analyzed individually.ORIGINALITY/VALUE: These results seem to fully reflect the pandemic reality in which the technological factor was of crucial importance, an innovative research to describe the pandemic in the theatre sector.The project is financed by the Ministry of Science and Higher Education in Poland under the programme “Regional Initiative of Excellence” 2019–2022 project number 015/RID/2018/19 total funding amount 10 721 040,00 PLN.peer-reviewe

Evaluation of theater activity using Hellwig’s method

The aim of the presented study is a comparison of the effects of the operational activity of city and regional cultural organizations in the context of accessibility. The studies are also an attempt to find indicators (variables) determining the most effective financing methods for operational activity of cultural organizations. For this purpose, determining indicators were identified, which drive the efficient activity of theaters. The authors share the view that accessibility is the main factor determining the effectiveness of public cultural services. Hellwig’s method of the capacity of indicators’ information and development was used to identify efficiency drivers for cultural institutions. Classification based on financial and operational metrics led to the best organizations that can play a model role.Małgorzata Gałecka: [email protected] Smolny: [email protected]łgorzata Gałecka - Faculty of Economic Sciences, Wrocław University of EconomicsKatarzyna Smolny - Faculty of Economic Sciences, Wrocław University of EconomicsBalcerzak A., 2008, Efektywność sytemu instytucjonalnego a potencjał gospodarki opartej na wiedzy, „Ekonomista”, No. 6.Bruton G., Ahlstrom D., Han-Lin Li, 2010, Institutional Theory and Entrepreneurship: Where Are We Now and Where Do We Need to Move in the Future? Entrepreneurship Theory and Practice, Baylor University 3, DOI: 10.1111/j.1540-6520.2010.00390.x.Coase R., 1960, The problem of social cost, “Journal of Low and Economics”, Vol. 3.Constitutions of Republic of Poland of April 2, 1997 (Dz.U. nr 78, poz. 483).DiMaggio P., PowellW., 1983, The Iron Cage Revisited: Institutional Isomorphism and Collective Rationality in Organizational Fields. American Sociological Review, Vol. 48, No. 2, 1983, DOI: 10.2307/2095101.DiMaggio P., Powell W., 1991, The new institutionalism in organizational analysis. University of Chicago Press, Chicago.Dziechciarz J. (red.), 2003, Ekonometria. Metody, przykłady, zadania, University of Economics in Wroclaw, Wroclaw.Fiazoli R., Filippini M., 1997, Cost structure and product Mix of Local Public Theaters, Journal of Cultural Economics, Vol. 21.Gałecka M., Smolny K., 2017, Economic Efficiency of Cultural Institutions, Hradec Economic Days, Vol. 7(1).Gałecka M., Smolny K., 2017, Financing rules of the activity of cultural institutions in the context of economic efficiency, „Ekonomia i Prawo”, Vol. 16, Issue 4, DOI: 10.12775/EiP.2017.027.Guzik R., 2003, Przestrzenna dostępność szkolnictwa ponadpodstawowego, Wydawnictwo Uniwersytetu Jagiellońskiego, Kraków.Heilbrun J., 2003, A Handbook of Cultural Economics, Edward Elgar, Northampton.Hellwig Z., 1968, Zastosowanie metody taksonomicznej do typologicznego podziału krajów ze względu na poziom ich rozwoju oraz zasoby i strukturę kwalifikowanych kadr, „Przegląd Statystyczny”, nr 4.Herrmann-Pillath C., 2006, Cultural Species and Institutional Change in China, “Journal of Economics Issues”, No. 40(3), DOI: 10.1080/00213624.2006.11506935.Ilczuk D., 2002, Polityka kulturalna w społeczeństwie obywatelskim, Narodowe Centrum Kultury, Wydawnictwo Uniwersytetu Jagiellońskiego, Kraków.Kachniarz M., 2012, Efektywność usług publicznych – teoria i praktyka, Wydawnictwo Uniwersytetu Ekonomicznego we Wrocławiu, Wrocław.Kosiński D., Teatr publiczny – azyl pod napięciem, electronic document, access mode: [http://250teatr.pl/idea,teatr publiczny azyl pod napieciem.html, date of entry: 02.03.2017].Kożuch A., Kożuch B. (red.), 2011, Usługi publiczne. Organizacja i zarządzanie, Kraków.Łukaszewicz O., Teatr publiczny, electronic document, access mode: [http://250teatr.pl/teksty,114,teatr publiczny.html, date of entry: 10.03.2017].Moritz H., 1974, Das Theater als Wirtschaftsfaktor, “Maske und Kothurn”, Vol. 20/1.O’Hagan J., Neligan A., 2005, State Subsidies and Repertoire Conventionality in the Non-profit English Theatre Sector: An Econometric Analysis, “Journal of Cultural Economics”, Vol. 29.Thorsby D., Withers G. A., 1979, The Economics of the Performing Arts, St. Martins Press, New York.Thorsby D., 1994, The Production and Consumption of the Arts: A View of Cultural Economics The production, “Journal of Economic Literature”, Vol. 32, No. 1.Thurik R., Dejardin M., 2012, Entrepreneurship and Culture, [in:] Entrepreneurship in Context, Gelderen M., Masurel E. (ed.), Routledge Studies in Entrepreneurship, Routledge, electronic document, access mode: [https://halshs.archives-ouvertes.fr/halshs-00943684/document, date of entry: 10.03.2017].Wojtyna A., 2008, Współczesna ekonomia – kontynuacja czy poszukiwanie nowego paradygmatu?, „Ekonomista”, nr 1.Zeliaś A., 2000, Taksonomiczna analiza przestrzennego zróżnicowania poziomu życia w Polsce w ujęciu dynamicznym, Wydawnictwo Akademii Ekonomicznej w Katowicach, Katowice.2(92)385

Operation Plan Development of Eastern Poland in the light of the regional policy of the European Union

Since the beginning of the Polish membership in the European Union, a remarkable diversity of absorption of funds in different regions has been a distinctive feature of the income acquisition process of non-returnable foreign sources. The level of funds absorption has divided Poland into zones: eastern and western. Because of the above mentioned circumstances the Luxembourg presidency in 2005 suggested creating in the period 2007–2013 a special fund directed to five poorest regions of the European Union. These regions are so-called Polish eastern wall. The article presents the Operation Plan of the Development of Eastern Poland in the light of the regional policy of the European Union

Criteria for the optimal financing model of public theatres

The research is part of a wider research problem, whose aim is to find an optimal financing model for cultural institutions in Poland. The purpose of this research is to evaluate the performance indicators of municipal and regional theatres in the context of accessibility to cultural public services. The study forms a verification of previously distinguished indicators of the effectiveness of cultural institutions with a general direction: how to find an optimal financing model of public dramatic theatres. The current research problem is the accessibility of public dramatic theatres in the absence of criteria for the allocation of statutory subsidies. We hypothesise that the absence of criteria for the allocation of statutory subsidies highly diversifies the accessibility of performing arts organisations. The object of study is public dramatic theatres in Poland in the period 2011–2015. We investigated the indicators having an impact on the level of accessibility of public theatres. The statistical methods used allowed us to identify criteria affecting availability. These criteria are recognized in the literature. In addition, we indicate the level of diversification of accessibility by individual public theatres

Financial Stability of Cultural Institutions Based on the Example of Voivodeship Theaters and Music Institutions

Instytucjami kultury są organizacje, które w zakresie swojej podstawowej działalności mają zapisane działania w obszarze szeroko rozumianej kultury. Teatry, obok filharmonii, opery i operetki, stanowią ważną grupę obiektów o charakterze kulturotwórczym. Celem artykułu jest ocena stabilności finansowej wojewódzkich instytucji kultury, takich jak teatry i instytucje muzyczne, w świetle dotacji statutowej przekazywanej tym instytucjom przez organizatora. Autorki stawiają hipotezę, zgodnie z którą dotowane instytucje kultury działające w Polsce mają stabilną sytuację finansową w odniesieniu do kosztów, które generują. Zważywszy na poziom środków uzyskiwanych z działalności podstawowej i poziom ponoszonych kosztów operacyjnych, to dotacja statutowa powinna zapewniać instytucjom artystycznym względną stabilność i samodzielność w podejmowaniu decyzji operacyjno-finansowych. W kontekście przyjętej definicji stabilności finansowej należy wskazać, iż poziom dotacji podmiotowej dla wojewódzkich instytucji kultury nie pozwala na stabilne realizowanie celów statutowych we wszystkich badanych instytucjach.Cultural institutions are organizations whose scope of core business comprises activities in the area of broadly understood culture. The aim of this article is to evaluate the financial stability of voivodeship cultural institutions, like theaters and music institutions, in the light of direct subsidies to those institutions from organizers. The hypothesis is that subsidized cultural institutions in Poland have a stable financial situation. Due to the fact that revenues and operational costs are unbalanced, it is actually the subsidy that should let those institutions continue operational activity in a stable environment with independence in operational and financial decisions. In the context of the financial stability definition adopted in this article, the observation is that the level of subsidies for voivodeship cultural institutions does not guarantee the completion of statutory tasks in all examined institutions

Kryteria wpływające na poziom liczby widzów w instytucjach wystawiennicznych

The problem is finding the optimal and efficient model of public funding. The development of an objective theatre funding model is a major challenge for both the entities developing as well implementing the cultural policy. The aim of this article is to identify the criteria/measures having the potential effect on the increase of the audience numbers in individual theatres in Poland. This aim is implemented using Multi Criteria Decision Making (MCDM), the result of which is to achieve full distribution of a set of variants (individual theatres) in accordance with the monitored criteria (audience numbers in a theatre). Our research found the important role of both financial and non-financial indicators among which technical indicators are essential. On this basis, the need to develop optimal allocation of public funds between theatres in terms of their technical capabilities or infrastructure should be considered.Znalezienie optymalnego, wydajnego modelu finansowania publicznych usług kulturalnych jest problematyczne. Wypracowanie obiektywnego modelu finansowania teatrów stanowi ogromne wyzwanie dla podmiotów zarówno kształtujących, jak i realizujących politykę kulturalną. Celem artykułu jest wskazanie kryteriów i miar mających potencjalny wpływ na kształtowanie się liczby widzów w poszczególnych teatrach w Polsce. Cel osiągnięto za pomocą modelu wielokryterialnej analizy wariantów. Badania dowiodły istotnej roli kryteriów zarówno finansowych, jak i pozafinansowych, wśród których podstawową rolę odgrywa kryterium techniczne. Na tej podstawie należy rozważyć konieczność tworzenia optymalnego podziału środków publicznych między teatry z uwzględnieniem ich możliwości technicznych czy infrastrukturalnych