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Knott's festival was seldom a financial success, though support was found from state governments (for the Texas Centennial and the Oklahoma Semi-Centennial festivals) and from newspapers (the Washington Post and the St. Louis Globe-Democrat both sponsored the festival at two periods in its history).
By the 1960s, Knott, then in her seventies, found herself increasingly out of touch with the new generation of academic folklorists and folk revivalists, many of whom found the National to be stagnant and old fashioned.
Knott officially retired in 1971, although she was reluctant to give up the reins of the festival she had devoted her life to running.