Funding the performing arts in the late 80s and beyond

Every year, performing arts organizations amass an ever-increasing chasm between ticket-generated income and contractually-obligated outgo. Traditionally, an individual or small group of individuals underwrote the shortfall. Today, however, no individual or small group can afford to underwrite these massive deficits, and organizations must go to the appropriate "capital" markets for funding. These "capital" markets--individuals, foundations, corporations, and governments--now provide well over half of the funding for not-for-profit opera, symphony, ballet, and theatre companies, and the percentage rises each year. For the performing arts to survive, arts administrators must increase the amount of support from present contributors and find new sources of funding at a time when revisions in the IRS Tax Code conspire to discourage giving.