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Luis César Herrero-Prieto and Mafalda Gómez-Vega

The authors summarize the economic analysis of orchestras, complex organizations which bring together talent, musical heritage and a taste for listening to live performances, and which for centuries have constituted one of the most notable and established cultural institutions. As they lie at the heart of the cost disease problem, they have given rise to some of the seminal studies in cultural economics. Nonetheless, they are also characterized by other key issues, so that we deal with four aspects: cost disease and orchestra funding, cost structure and efficiency evaluation, participation and demand features and, finally, evaluation of orchestra quality.