Arts and Economic Prosperity III: a review

Abstract

Americans for the Arts published Arts & Economic Prosperity III: The Economic Impact of Nonprofit Arts and Culture Organizations and Their Audiences in May 2007. Americans for the Arts is a non-profit organization in the USA that aims to advance the arts by creating opportunities for all Americans to participate in and appreciate the arts. This is the third economic impact study of the sector undertaken by Americans for the Arts, the first two studied activity in 1992 and 2000 respectively. This review examines the wealth of data made available and the claims made for the economic impact of the non-profit arts and culture sector in the USA. The Arts & Economic Prosperity study concluded that the non-profit arts and culture industry generated $166.2 billion of economic activity and supported 5.7 million full-time equivalent jobs in the USA. The review raises concerns about the methodologies employed to both capture and interpret the data, in particular the reliance on gross figures rather than net flows and the lack of consideration of opportunity cost. In conclusion, it questions the degree of utility of the study given its heavy promotion as a tool for advocacy by Americans for the Arts.

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