Economy of culture and culture of economy: institutional aspect

The article analyzes the interaction of economic components of culture and of valuable components of the economy in the institutional environment. The analysis of interaction based on basic postulates of the behavioral economy. Following a number of Russian researchers the author comes to the conclusion that the culture economy can influence the dynamics of productivity and labor efficiency. The author based on the institutional approach, and he introduces “the traps of cultural degradation” and “cultural multiplier” concepts which are forming in the institutional environment. Spending of budget reduction on culture in the long time may lead to deformation of one's own cultural traditions and institutions. In the article offers a theoretical construct for interaction between the economy of culture and culture of the economy based on the concept of economic mentality. The author includes in the definition the value-motivational attitude to work, wealth, norms and patterns of established economic behavior, the national orientation of the economic agent and his assessment of his subjective economic wellbeing. The author argues that the low culture of economic interaction causes significant damage to the quality of market transactions through the growth of opportunistic behavior of economic agents, economic crimes, and so on. Opposite tendencies associated with the fixation of the theaters and museums visiting per 1000 people growth while reducing the average per capita monthly household income are revealed. In order to understand whether this is a trend characteristic of national economic mentality, or this is a feature of the demand for cultural goods, which is characteristic for them without national binding, the author suggests that a similar analysis for other countries of the world. The author comes to the conclusion that the economic mentality of economic agents should contribute to the development of charity and philanthropy institutions as an additional source of investment in the sphere of culture.