• Description

Using panel data analysis, we examine the relative importance of citizen and government characteristics on a highly discretionary and volatile budget item: state appropriations to arts agencies. Despite the unimportance of arts spending to most citizens, changes in arts spending appear to reflect citizen desires. Spending rises with per capita income, state revenues, and citizen political and social liberalism, but characteristics of state legislatures do not significantly affect spending.Department of Economics and W.T. Beebe Institute of Personnel and Employment Relations Working Paper 07-02