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Pay as You Go: A New Proposal for Museum Pricing

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Listed:
  • Bruno S. Frey
  • Lasse Steiner

Abstract

Museums have many different goals beyond efficiency such as social equity, financial revenue, attracting donors and gaining international, regional or local prestige. Various pricing schemes are being discussed with the aim of reaching these goals. The classical ones are entry prices and free entry. The museum club solution or exit donations allow for various additional goals. Each scheme has clear advantages and disadvantages. We propose an innovative pricing instrument: Exit prices, which are charged according to the time spent in a museum. This scheme has a number of notable advantages, in particular the better choice available to the visitors, which increases their satisfaction.

Suggested Citation

  • Bruno S. Frey & Lasse Steiner, 2010. "Pay as You Go: A New Proposal for Museum Pricing," CREMA Working Paper Series 2010-10, Center for Research in Economics, Management and the Arts (CREMA).
  • Handle: RePEc:cra:wpaper:2010-10
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    References listed on IDEAS

    as
    1. Bruno S. Frey & Paolo Pamini, 2010. "World Heritage: Where Are We? An Empirical Analysis," CESifo Working Paper Series 2919, CESifo.
    2. Juan Prieto-Rodríguez & Víctor Fernández-Blanco, 2006. "Optimal pricing and grant policies for museums," Journal of Cultural Economics, Springer;The Association for Cultural Economics International, vol. 30(3), pages 169-181, December.
    3. John O'hagan, 1998. "Art Museums: Collections, Deaccessioning and Donations," Journal of Cultural Economics, Springer;The Association for Cultural Economics International, vol. 22(2), pages 197-207, June.
    4. Bruno S. Frey & Paolo Pamini, 2009. "Making World Heritage Truly Global: The Culture Certificate Scheme," CREMA Working Paper Series 2009-13, Center for Research in Economics, Management and the Arts (CREMA).
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    6. Frey, Bruno S. & Meier, Stephan, 2006. "The Economics of Museums," Handbook of the Economics of Art and Culture, in: V.A. Ginsburgh & D. Throsby (ed.),Handbook of the Economics of Art and Culture, edition 1, volume 1, chapter 29, pages 1017-1047, Elsevier.
    7. Bruno S. Frey & Paolo Pamini, 2009. "World Heritage: Where Are We? An Empirical Analysis," CREMA Working Paper Series 2009-31, Center for Research in Economics, Management and the Arts (CREMA).
    8. Victor Ginsburgh & David Throsby, 2006. "Handbook of the economics of art and culture," ULB Institutional Repository 2013/1673, ULB -- Universite Libre de Bruxelles.
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    13. Bruno S. Frey & Paolo Pamini, 2009. "Making World Heritage Truly Global: The Culture Certificate Scheme," CESifo Working Paper Series 2745, CESifo.
    14. Bruno S. Frey & Stephan Meier, 2004. "Social Comparisons and Pro-social Behavior: Testing "Conditional Cooperation" in a Field Experiment," American Economic Review, American Economic Association, vol. 94(5), pages 1717-1722, December.
    15. Faye Steiner, 1997. "Optimal Pricing of Museum Admission," Journal of Cultural Economics, Springer;The Association for Cultural Economics International, vol. 21(4), pages 307-333, December.
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    19. Frey, Bruno S. & Pommerehne, Werner W., 1993. "On the fairness of pricing -- An empirical survey among the general population," Journal of Economic Behavior & Organization, Elsevier, vol. 20(3), pages 295-307, April.
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    21. Bonita Kolb, 1997. "Pricing as the Key to Attracting Students to the Performing Arts," Journal of Cultural Economics, Springer;The Association for Cultural Economics International, vol. 21(2), pages 139-146, June.
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    Blog mentions

    As found by EconAcademics.org, the blog aggregator for Economics research:
    1. How to price museum visits
      by Economic Logician in Economic Logic on 2010-06-15 19:25:00
    2. Inträde till museer
      by Niclas Berggren in Nonicoclolasos on 2010-06-23 08:33:06

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    Cited by:

    1. Bruno S. Frey & Lasse Steiner, 2010. "World Heritage List: Does it Make Sense?," CESifo Working Paper Series 3078, CESifo.
    2. Bruno S. Frey & Lasse Steiner, 2010. "World Heritage List: does it make sense?," IEW - Working Papers 484, Institute for Empirical Research in Economics - University of Zurich.

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    More about this item

    Keywords

    Prices; museums; culture; donations; homo oeconomicus;
    All these keywords.

    JEL classification:

    • Z11 - Other Special Topics - - Cultural Economics - - - Economics of the Arts and Literature
    • L30 - Industrial Organization - - Nonprofit Organizations and Public Enterprise - - - General
    • H40 - Public Economics - - Publicly Provided Goods - - - General
    • R32 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Real Estate Markets, Spatial Production Analysis, and Firm Location - - - Other Spatial Production and Pricing Analysis
    • L21 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Business Objectives of the Firm

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