Víctor Fernández-Blanco

Are Popular and Classical Music Listeners the Same People

In this paper we propose a method for analysing the differences between theconsumption of popular and classical music, that we apply to Spain. Using theinformation contained in the Survey of Structure, Conscience and Biography ofClass, we estimate a bivariate probit model to characterise the audience foreach kind of music, we quantify the influence exerted by various socioeconomicfeatures on the demand for these goods and we describe the average profile ofconsumers.

The allocative efficiency measure by means of a distance function: The case of Spanish public railways

This paper is an empirical application of the distance function to study the allocative efficiency of a regulated railway firm, RENFE, where the cost minimising hypothesis may be questioned. The distance function, which is the dual of the cost function, completely describes the technology and, like the cost function, it allows a multiproduct analysis. However, unlike the cost function, the input prices are not needed for its calculation and it does not imply cost minimisation. We have obtained the shadow prices of the productive factors, which satisfy the condition of minimum cost. These shadow prices are used to calculate the degree of allocative inefficiency of the firm and the origin of this inefficiency by using a parametric correction of prices (kij). The procedure followed has consisted of estimating a system of equations for the input distance function and cost share equations, employing the iterative seemingly unrelated regressions method (ITSUR). Moreover, in contrast with other studies which have used this method, we assume that the employment of an input in a proportion different from that which would minimise cost could be systematic, and incorporate this possibility into our empirical model. The model was estimated using annual data over the period 1955-95. In order to achieve a distribution and the confidence intervals of the proportionality terms estimated, kij, we have used a standard bootstrap technique.

Performance of cultural heritage institutions

the promotion, defence and conservation of cultural heritage are the aims of a wide number of institutions, both private and public that directly, or indirectly are managing increasing human, economic and financial resources. as we will see below, cultural heritage institutions are predominantly not market oriented, and the public sector is their main source of financing. they are often beyond the control of the market, which imposes efficient behaviour when competitive. therefore, their internal logic does not ensure economic efficiency. However, achieving the best performance is crucial because public resources are limited nowadays and have a rising opportunity cost. looking for the best performance, and if possible, discovering new ways to improve it, is an optimal strategy both for the financing and the operational institutions. the goal of this chapter is to analyse how the performance of these institutions can be evaluated, not to measure the different values associated with cultural heritage (see throsby, 2001). We need to begin by defining the output of these institutions, i.e. those components of cultural heritage that can be measured and can be objects of efficiency analysis. the answer to these questions will determine what institutions can be evaluated because what is good (or bad) performance is not independent of the nature and objectives of the institutions involved. However, the concept of cultural heritage is extraordinarily wide and has been changing in the last decades, from considering monuments and groups of buildings and sites to including new categories such as the intangible, ethnographic or industrial heritage of a culture’s remains.1 We wish to contribute to this discussion by designing a framework that answers all these questions from an economic point of view, and this aim defines the structure of this essay. in the next section, we try to centre our aims and discuss some questions. in the following two sections we define economic efficiency and discuss the possible sources of inefficiency among cultural heritage institutions. then two sections discuss the main method-

Building Stronger National Movie Industries: The Case of Spain

he American movie industry dominates Spanish cinema. Consider the T following: Nine of the ten most important films of 1998 in Spain were American movies, in terms of revenues and filmgoers, with Titanic topping the list (SGAE 1999). Only one Spanish movie placed in the top ten (Torrente, which ranked third). The second Spanish film on the list (La niria de tus ojos) was in twelfth place, while the first non-Spanish European film (The Full Monty) placed twenty-eighth. These figures represent the power of the major Hollywood studios (“majors”) in film distribution. Five film distributors (Buena Vista, Columbia Tri-Star, HispanoFox Films, UIP, and Warner-all associated with the majors4ontrol three-quarters of the Spanish market, even though they only distribute about 20 percent of the films exhibited each year (SGAE 1999). In 1998, with the exception of Columbia Tri-Star, no more than 2 percent of the revenues taken in by majors’ distribution companies came from Spanish movies. The distribution companies control all access to the Spanish screens and distribute films following a block-booking practice, in which theaters must show a certain array of a company’s films to gain access to “blockbusters” such as Titanic or Lord of the Rings.

Characteristics of buyers and renters of cultural goods: the case of movies

This article identifies the characteristics of consumers of movies, watched on videotapes, in their homes. Models of the frequency of movie video buying and renting by individuals are estimated using data from the Spanish Cultural Consumption Habits Survey (Encuesta sobre Hábitos de Consumo Cultural). This survey featured information about videotapes rented and bought in Spain throughout 1998. Applying a multinomial probit modelling framework, this study analyses whether there are two different video markets (renting and buying) and any discernible socio-economic characteristics for their respective consumers. The influence of film genres on the renting of movie videotapes is also considered.

Underneath the Red Carpet: Government Intervention in the Spanish Movie Industry

Despite its glamour and elevated social status, the movie industry receives much assistance from governments around the world. Governments mainly use both direct (subsidies and tax credits) and indirect (screen quotas or censorship) tools to help their own domestic motion picture industries. This article presents evidence of an indirect government intervention in the Spanish movie industry. In 1999, the Spanish government mandated that operating TV networks invest 3% of their receipts on the production of movies in the Spanish language. Using a new dataset of Spanish movies produced between 2000 and 2008, this article studies the empirical relation between TV network participation on movie production and box office success. Private TV network participation (as opposed to public networks) through production (and not distribution) was found to be associated with higher box office revenues and gross profitability rates, even after controlling for movie production budgets.

Looking into the Profile of Music Audiences

The main aims of this chapter are to identify different groups of music consumers and to analyse the relation between the observed diversity of musical consumption and the socio-economic characteristics of the audiences. This information is essential for producers’ and cultural practitioners’ as well as for public agencies for the purpose of encouraging cultural consumption and the promotion of certain types of music. Using cluster analysis with the 2011 Survey on Spanish Habits and Cultural Practices (SHCP-2011), we have identified 12 distinct clusters of music listeners and obtained a detailed classification of music consumers. As expected, education and age are the main determinants of music consumption. Hence, education and childhood exposure to music could prove to be important instruments for improving music demand especially if they are focused on personal enjoyment and satisfaction rather than on the more formal aspects of music.

Regulating the Mandatory Participation of TV Networks in Financing the Movie Industry: The Case of Spain

In this paper, we present evidence of an indirect government intervention in the Spanish movie industry. In 1999, the Spanish Government mandated that operating TV networks invest 3% of their receipts on the production of movies in Spanish language. Using a data set of Spanish movies produced between 2000 and 2008, we study the empirical relationship between TV network participation on movie production and box office success. We find that private TV network participation (as opposed to public networks) through production (and not distribution) is associated with higher box office revenues and gross profitability rates, even after controlling for movie production budget.

Raiders of the Lost Ark: A European Market for European Movies?

The aim of this chapter is to analyze cinema consumption and commercial flows in Europe and contribute to the debate regarding the existence, health and perspectives of a European Film Market. On the one hand, looking at attendance, national and foreign market shares and Top Films, we have identified a general decrease in terms of admissions and some evidence of a common taste among European countries clearly linked to Hollywood products. Hence, the European cinema industry must face these common tastes as a weakness rather than strength. On the other hand, in terms of commercial flows, we have carried out a cluster analysis to identify those films that display similar performances in foreign markets. Movies filmed in English, with a higher budget and distributed by a Hollywood major have a higher probability of achieving better commercial results overseas. Beyond this Hollywood dominance, the European Film Industry needs to consolidate national and EU policies encouraged by a European vision in order to take advantage of economies of scale in the financing and distribution of films as well as building up European conscientiousness and tastes among cinemagoers.

Do Movie Majors Really Collude? Indirect Evidence from Release Schedules

Major Hollywood films studios and their affiliated local distributors have a dominant market share in the main international movie markets, but their competitive behavior has come under suspicion. In 2006, the Spanish Competition Court fined these Majors for anticompetitive practices. Our aim is to evaluate the presence (or absence) of collusive behavior among Majors during the 2002-2009 period. Because the release date is a critical variable of competition, we test whether Majors are coordinating their release schedules. Our results suggest that Majors achieve a larger degree of coordination in their release schedules than other distributors.