In an increasingly globalised world, economic and cultural imperatives can be seen as two of the most powerful forces shaping human behaviour. This book considers the relationship between economics and culture both as areas of intellectual discourse, and as systems of societal organisation. Adopting a broad definition of culture, it explores the economic dimensions of culture, and the cultural context of economics. The book is built on a foundation of value theory, developing the twin notions of economic and cultural value as underlying principles for integrating the two fields. Ideas of cultural capital and sustainability are discussed, especially as means of analysing the particular problems of cultural heritage, drawing parallels with the treatment of natural capital in ecological economics. The book goes on to discuss the economics of creativity in the production of cultural goods and services; culture in economic development; the cultural industries; and cultural policy.

‘What a pleasure to read an economic analysis of culture and a cultural critique of economics by a well-trained, thoroughly cultured economist! This is a book we all ought to read.’

Mark Blaug - University of Amsterdam

‘David Throsby has long been known as a leading contributor in cultural economics. His book marks a major step forward: far from a mindless application of orthodox economics to the arts, he does full justice to the special characteristics, without giving up good economic reasoning. His treatment of the value of the arts, of cultural capital and heritage are of special note.’

Bruno S. Frey - University of Zurich