James Tobin writes:

>(1) is it rational behavior on the part of arts organizations to spend so
>much beyond their means?

Not according to me.

>and (2) to respond to Don's market recommendation, is this market
>economics at all?

Sure.  A lot of people spend beyond their means in a free market.  It's
just that you're virtuous.  Subsidies from private sources are bailouts,
just as if my rich uncle Irwin had offered to settle my debts.  The problem
is that bailouts are seen as steady income.  This is one reason why the New
Orleans Symphony kicked the bucket about 5 years ago.  They reorganized
under the name Louisiana Philharmonic Orchestra as a musicians'
cooperative, and they are a lot more careful with their money these days -
currently debt-free.

Steve Schwartz