The results of a 2003 economic impact study out of Austin confirms the suspicions of many Texas cultural art lovers, demonstrating that the cultural arts have a Texas-sized impact on our economy. The purpose of the study, produced by leading Texas economist Dr. Ray Perryman, was to comprehensively examine the economic impact of the arts on Texas. The study concludes that the arts have an extraordinary impact on the Texas economy ranging from billions of dollars in total expenditures, gross product and personal income, to almost two million permanent jobs.
The study raised awareness of the total contributions of cultural activities within the state and offers a perspective on future patterns and prospects. The report focuses on the full integration of the arts into the entire spectrum of production in the state.
Key findings of the study include:
1. The Arts as a Component of the Entire Economic System
When viewed in terms of their contributions to all sectors of the economy, the cultural arts account for $190.2 billion in total expenditures (12.3% of the state total). The cultural arts also result in $98.4 billion in Gross Product, $61.7 billion in Personal Income and 1.918 million Permanent Jobs (15.7%).
2. THE ARTS AS TRADITIONALLY MEASURED (Visual, Literary, Media and Performing)
The overall effects of the contribution of the arts as traditionally measured (visual, literary, media, and performing) include $63.7 billion in Total Expenditures, $31.5 billion in Gross Product, $18.7 billion in Personal Income, and over 600,000 Permanent Jobs.
As traditionally measured, the cultural arts are responsible for about 19.8% of the total tourism in the state.
3. THE NONPROFIT SEGMENT OF THE ARTS
The nonprofit segment of the arts brings a net benefit to Texas of $19.0 Billion in Total Expenditures, $9.5 billion in Gross Product, $5.9 billion in Personal Income, and over 200,000 Permanent Jobs.
The nonprofit arts sector is the incubator for the vast role of cultural activity in the economy. For every $1 spent on those activities, more than $298 of long-term cultural impact on the economy occurs, as well as $9.20 in State revenues.
4. RURAL IMPACT
Approximately 5.5% of the economic impact of traditional cultural arts occurs in rural segments of the state.
Rural regions of Texas enjoy 6.6% of all nonprofit arts activity.
STAND UP AND TAKE NOTICE, Y'ALL!
Governmental investments in arts and cultural organizations are no longer about intangibles. Arts and cultural organizations in Texas make very real and significant contributions to the local economy and are worthy of community support and advertising dollars. These contributions are significant and sustained. Even in the face of economic slowdown, arts and cultural organizations continue to impact the Texas economy substantially, in addition to the enjoyment and fulfillment they provide to our citizens and visitors each year.
One look at the numbers will surely cause any Texas advertiser to stand up and take notice of the potential when linking up with artistic and cultural endeavors as part of this year's promotional campaign. They need your support and you need their audiences.
In 2003, arts and cultural organizations in Texas generated over $55 million in economic activity and impact from construction and capital expenditure activity to new and existing facilities. These same organizations generated about $320 million in economic activity from indirect audience spending associated with attendance at arts events during that same year. Nearby, the total economic impact of the arts in Fort Worth in 2003 was about $250 million; in Dallas, over $500 million. Other metroplex communities generated about $23 million.
Do the math: that's nearly $800 million! The Governor's office has noticed. Have you?