The Demos organization in London is a think-tank that produces compelling reports on everything from public space to government spending. This report from October 2010 is by Samuel Jones, and he explores the relationship between the British government and culture and sport. His basic question is: "Why should the state get involved in culture, and if it should, how?" The 154-page report is divided into sections such as "Society and the cultural realm", "Taking the cultural pulse of a nation", and "Evidence of Potential". It's an interesting read, and the paper argues that "cultural policy must focus on the equitable distribution of individuals' cultural capabilities, indicating that this will require thinking anew about what form the structures take, and how they are run."
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