CULTURAL OVERFLOW AND DETERMINANT EXPENSES: A BUDGETARY ANALYSIS OF CULTURAL DIFFUSION IN BRAZIL USING SPATIAL REGRESSION MODELS
Government function, cultural diffusion, Spillover Theory, Spatial econometrics,public economics.
The present research investigated the role of Culture in the context of economic spillover and determining expenditures. For a more detailed understanding, this dissertation organized the topics by chapters. Chapter 1 aimed to conduct an analysis of the economic spillover of budget execution in the government function of culture across Brazilian regions. The reflection of expenditure in the government function of culture was observed, relating it to the Spillover Theory. The sample for this research used the actual expenses in the execution of the subfunction of cultural diffusion. All 5,570 Brazilian municipalities were analyzed, and the results were subjected to quantitative analyses, metricized by spatial econometrics techniques, in a Spillover Model and Moran's Index using the Geoda software. The findings indicate na economic spillover relationship in cultural diffusion among Brazilian municipalities. Building on the reported evidence, Chapter 2 delves into the intrinsic interconnection between economy and culture, seeking to list the determinants of economic spillover in cultural diffusion expenditure. Considering culturally unique communities, the research focuses on territorial identity as a catalyst for endogenous development. The definition of a central region is explored in its economic context, highlighting the relevance of public investment in culture through cultural diffusion and listing limitations caused by the COVID-19 pandemic. The research employs spatial regression models such as OLS, SAR, SEM, and GWR to analyze the relationship between variables and their correspondence or lack thereof as a determinant of public spending on cultural diffusion in Brazilian municipalities. The sample included all Brazilian municipalities (5,570). Among the findings, the results showed that central regions did not have the highest expenditures in cultural diffusion, and variables such as poverty and the GINI index had a negative correlation with the analyzed subfunction.