|Arts and culture worth US$505b to US economy
(17 mins ago)
Creative industries led by Hollywood account for about US$504 billion, or at least 3.2 percent of US goods and services, the US government said in its first official estimate on the arts and culture contribution.
The US Bureau of Economic Analysis and the National Endowment for the Arts will release the first-ever estimates of the creative sector's contributions to US gross domestic product based on 2011 data, the most recent figures available. GDP measures the nation's production of goods and services, AP reports.
Sunil Iyengar, the endowment's research director, said the yardstick devised in partnership with the Bureau of Economic Analysis drew on figures from Hollywood, the advertising industry, cable TV production, broadcasting, publishing, performing arts and other areas.
Analysts said they used preliminary numbers from 2011 and dating back to 1998, including both for-profit and non profit industries in the arts and culture sector.
By comparison, the arts and culture sector outpaced the US travel and tourism industry, which was 2.8 percent of GDP in 2011, based on the federal estimate. That finding surprised even the researchers.
“Art and culture is a significant part of the U.S. economy _ not just its contributions of ideas and creativity to the innovation economy but also as an important part of the labor force and our country's GDP,'' NEA Senior Deputy Chairman Joan Shigekawa said in a statement.
Hollywood movies and video services, the advertising industry and cable TV production were leading contributors to GDP in the creative sector, the researchers found, followed by broadcasting, publishing and the performing arts.
The total output from arts and cultural production, another measure of economic activity, was US$916 billion in 2011, analysts found. That includes US$200 billion from creative development in advertising, US$104 billion from arts education including college art departments, US$100 billion from cable TV and US$83 billion from movies and video services.
In the workforce, Hollywood and the video industry employed the most people, totaling 310,000 workers and US$25 billion in compensation, according to the data. Museums and performing arts industries each employed about 100,000 people. In total, 2 million people worked in creative industries.
Researchers also analyzed the creative sector's exports and the effect of the recession. Since 2007, the sector's economic impact slumped and had not rebounded by 2011. Between 1998 and 2006, its share of GDP ranged from 3.5 to 3.7 percent, but researchers found the arts suffered more than the overall economy during the Great Recession.
Exports of arts and culture have rebounded, though. A 10-year trend of deficits was reversed beginning in 2008, and by 2011, the US exported US$10.4 billion more arts and cultural commodities than it imported. Jewelry, silverware, movies and video services were the biggest exports. The country as a whole, though, has been running a trade deficit.
The analysis will be updated each year, next in fall 2014 to include 2012 data.