| Abstract [eng] |
In political priorities, the cultural sector is understood as acting horizontally—contributing to the development of economic, social, and environmental fields. Although questions how to assess the cultural situation and its impact are not new, research often faces significant limitations: a narrow concept of culture, unaccounted endogeneity, or delayed effects. While it is agreed that modern socio-economic development depends on more factors than those indicated in the theory of modern growth models, with culture being one of the omitted variables, empirical evidence remains underdeveloped. The aim of the research is to develop distinct models that will enable the quantification of the cultural situation and the measurement of culture’s impact on economic and social development, utilising data from Lithuania and European countries. The research presents definitions of the cultural sector and an assessment of the cultural situation at the municipal level in Lithuania. The impact of culture on economic development is based on a data set of European countries, evaluating both direct (by constructing panel VAR models) and indirect (by constructing IV models) impacts. At the Lithuanian level, the impact of culture on individual well-being is assessed (by constructing LPMs). The results confirm that the cultural sector contributes to economic development, both directly and indirectly through human capital. Additionally, the cultural sector positively affects individual well-being. |
