Journal of Cultural Economics

, Volume 33, Issue 1, pp 49–68 | Cite as

Broadway productions and the value of a Tony Award

Original Article

Abstract

This article investigates the effect of a Tony nomination or win on the demand facing a Broadway production using a panel of weekly revenues for Broadway productions from 1996 to 2007. Our results indicate that the effect of a nomination or win is positive in the week of the announcement and gradually increases in successive weeks, presumably due to publicity and word-of-mouth. Winners experience an increase in demand as late as 1 year later when awards are publicized for the following season. Moreover, nominees that do not win the award are penalized heavily in the weeks following the Award announcements. We find that winning a Tony Award increases a production’s revenues by 12% in the week immediately following the Awards.

Keywords

Theater Broadway Tony Awards Discrete choice 

JEL Classification

Z11 

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Copyright information

© Springer Science+Business Media, LLC. 2009

Authors and Affiliations

  1. 1.Department of EconomicsCollege of the Holy CrossWorcesterUSA
  2. 2.Department of EconomicsOccidental CollegeLos AngelesUSA

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