Raleigh, NC — Wake County's nonprofit arts and culture industry generates more than $166 million in annual economic activity — supporting 6,601 full-time equivalent jobs and generating $15,868,000 in local and state government revenues, the United Arts Council of Raleigh and Wake County announced Thursday June 21 at the Umstead Hotel in Cary.
The findings are from a national impact study, Arts & Economic Prosperity IV, conducted by Americans for the Arts, the nation's leading nonprofit organization for advancing the arts. In this study of fiscal year 2010, the nonprofit arts and culture industry is comprised of organizations and their audiences.
"Business leaders and economic developers talk often about how the arts make a city livable and dynamic, and now this study demonstrates that the arts are an industry that stimulates our local economy in a significant way. A vibrant arts and culture industry helps local businesses thrive, says area businessman Steve McLaurin, chair of the United Arts Council Board of Directors.
According to the study, nonprofit arts and culture organizations in Wake County spent $87,807,000 during fiscal year 2010. This direct spending is far-reaching: organizations pay employees, purchase supplies, contract for services and acquire assets within their community. Those dollars, in turn, generated $82,691,000 in household income for local residents and $7,695,000 in local and state government revenues.
Statewide, the nonprofit arts and culture industry generates $1.2 billion in direct economic activity in North Carolina, supporting more than 43,600 full-time equivalent jobs and generating $119 million in revenue for local governments and the State of North Carolina.
"We all understand and appreciate the intrinsic values of the arts. This study shows that arts organizations are also businesses. They employ people locally, purchase goods and services from within the community, are members of the chamber of commerce and local convention and visitor bureaus and are key participants in marketing their cities and regions," said Wayne Martin, executive director of the NC Arts Council. "Because arts organizations are strongly rooted in their community the jobs they provide are on the whole local and cannot be shipped overseas," Martin added.
Nationally, the Arts & Economic Prosperity IV study reveals that the nonprofit arts industry produced $135.2 billion in economic activity during 2010. This spending—$61.1 billion by nonprofit arts and culture organizations plus an additional $74.1 billion by their audiences—supported 4.1 million full-time equivalent jobs and generated $22.3 billion in federal, state and local tax revenues.
"This study shines a much-needed light on the vital role the arts play in stimulating and sustaining economic development," says Robert L. Lynch, president and CEO of Americans for the Arts. "Contrary to popular belief, the arts are a bustling industry that supports a plethora of diverse jobs, generates significant revenues for local businesses and to federal, state and local governments and provides quality of life that positions communities to compete in our 21st century creative economy."
Arts Industry Boon for Local Businesses
In addition to spending by organizations, the nonprofit arts and culture industry leverages an annual $78,421,629 in event-related spending by its audiences. As a result of attending a cultural event, attendees often eat dinner in local restaurants, pay for parking, buy gifts and souvenirs, and pay a babysitter. What's more, attendees from out of town often stay overnight in a local hotel. In Wake County, these dollars support 2,427 full-time equivalent jobs and generate $48,173,000 in local and state government revenues.
"Communities that support arts and culture not only invest in quality of life for their citizens, they also invest in economic well-being. Local restaurants have come to count on the additional spending by arts and cultural audiences, especially in our downtown areas in Wake, where arts and cultural events are often sited," says Eleanor H. Oakley, President/CEO of the United Arts Council. "This study simply quantifies what many business owners see first-hand week after week."
The Arts & Economic Prosperity IV study was conducted by Americans for the Arts and supported by the Ruth Lilly Fund of Americans for the Arts. The full text of the national statistical reports is available at www.AmericansForTheArts.org/EconomicImpact.