Should arts funding be indexed to the consumer price index?

Some states do it and some states don’t. But just how significant is indexation and are there viable alternatives?
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Image source: M.C. Escher from www.scottmcd.net

With government arts funding cut on state and national levels, it would be easy to imagine that organizations who already have funding approved would be relatively free of concerns.

This is not always the case, however. Less dramatic than straight-out rejection or big cuts, new indexation policies are one way in which state and national governments can deprive organisations of funding while simultaneously supporting them. This is a problem faced by organisations with multi-year funding grants.

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