Facts and Figures
Content
Source of Revenue for Nonprofit Arts Organizations (Estimated)
Local Govt. 4% State Govt. 2% Federal Govt. 3%
Earned Income 60%
Corporate 3% Foundation 4% Individual 24%
$800 Million Local $706 Million*
$451 Million
State $263 Million**
$170 Million
NEA $146 Million
NEA Appropriations History Fiscal Years 1966 to 2012
2012 2011 2010 2009 2008 2007 2006 2005 2004 2003 2002 2001 2000 1999 1998 1997 1996 1995 1994 1993 1992 1991 1990 1989 1988 1987 1986 1985 1984 1983 1982 1981 1980 1979 1978 1977 1976 1975 1974 1973 1972 1971 1970 1969 1968 1967 1966
$146.0 million $167.5 million
$97.6 million
$176.0 million
$158.8 million
$2.9 Million
NEA Budget as a Percentage of (Non-Military) Discretionary Federal Budget
0.16%
0.14%
0.12% 0.10% 0.08% 0.06% 0.04% 0.02%
1982 0.113%
1996 0.040% 2012 0.028%
0.00% 1982
1984
1986
1988
1990
1992
1994
1996
1998
2000
2002
2004
2006
2008
2010
2012
NEA Funding Fails to Keep Pace with Inflation: 1992 to 2011
$300
$250
1992 Budget adjusted for inflation
$282 Million
$200
$176 Million
$150
$155 Million
$100
Actual Budget
$50
$0
Businesses Support for the Arts Changes with the Economy
Arts Facts . . . Business Support to the Arts With billions in arts funding, businesses play a key role in ensuring the health and vitality of the nation’s arts sector. Business support for the arts is driven less by a charitable focus and more marketing and sponsorship oriented.
According to the 2010 BCA Triennial Survey of Business Support to the Arts, total arts giving decreased by 14 percent between 2006 and 2009. The percentage of all businesses contributing to any philanthropic cause decreased from 70 percent in 2006 to 52 percent in 2009. Similarly, the percent of all businesses contributing to the arts during this period decreased from 43 percent in 2006 to 28 percent in 2009. In addition the median contribution to the arts per business across all business sizes decreased from $800 to $750.
Business Contributions to the Arts 2006 Percent change from 2006 in total arts giving Percent of all businesses contributing to any phlanthropic cause Percent of all businesses contributing to the arts in 3 year period (cash/non-cash) Median contribution to the arts per business Percent the arts received of total philanthropic contributions
Source: Americans for the Arts' Business Committee for the Arts, 2010.
2009 -14% 52% 28% $750 15%
70% 43% $800 13%
Despite the negative numbers lies some encouraging news. The BCA report shows that the percentage the arts receive of total philanthropic contributions is up slightly from 13 to 15 percent. Thus, while the amount of funding is dropping, the arts are getting a slightly bigger piece of the philanthropic pie. Also, among businesses that continue to support the arts, median giving rose among small businesses (from $500 to $700) and mid-sized businesses (from $2,000 to $2,250). As a result, small and mid-sized businesses more than ever contribute the largest share of arts dollars—contributing 69 and 24 percent respectively.
Reasons Businesses Support the Arts Sixty -percent of businesses say they support the arts because it is a good thing to do. While only 14 percent say giving is tied solely to business goals, another 23 percent say they give both for philanthropic and business goal reasons. This means a net of 37 percent of businesses mention relating arts giving to business goals. This is consistent with other studies that demonstrate business support for the arts is driven less by a charitable focus and more marketing- and sponsorship-oriented. This enables business to support the arts as well as use the arts to meet business goals, expand markets for products, and engage employees. One of the top reasons businesses support the arts or would consider supporting the arts is if there is a link to social causes or education. After profitability, this is the top reason businesses cited for increasing or considering supporting the arts. Arts & Music Sponsorship in North America (millions)
$1,000 $754 $867 $832 $820 $842 $885
Sponsorship The dollar amount of arts sponsorships have 2005 2006 2007 2008 2009 2010 2011 increased annually since a major Great Recession drop in 2008. Total sponsorships in North America are expected to be $18.2 billion in 2011, with the arts receiving approximately 5 percent. According to IEG’s Sponsorship Report, automotive and financial services are the two largest sponsorship categories for the arts.
Downward Pressure on Business Support to the Arts In an effort to achieve more measurable results from their philanthropy, more businesses are reducing their charitable focus to a single funding category, such as health or education. This single-focus giving rarely focuses on the arts.
Decade Trend of Arts Losing Market Share of Business Support: 1998-2010
14% 12% 10% 8% 6% 4% 13.9%
10.3% 8.9% 8.3% 8.0%
5.5% 4.7% 4.5% 4.9% 4.6%
5.7% 4.4% 4.0%
Mergers and acquisitions are resulting in 2% a negative impact on local giving, by 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 reducing the number of corporate Source: Conference Board, 2011. headquarters in communities across the country. Following the mergers, those local dollars are likely to be redirected to national and global issues such as health, education, and the environment—and seldom to the arts. The share of corporate philanthropy directed to the arts increased in 2008. The long-term trend, however, has been decidedly downward over the past decade, according to research conducted by the Conference Board. While much of this can be attributed to a huge increase of in-kind contributions of medications by drug companies, further analysis still demonstrates that the arts’ “piece of the pie” is getting smaller.
There is renewed interest in business support for the arts as it relates to building the 21st century workforce. The Conference Board’s research report, Ready to Innovate, touts the importance of arts education in building the 21st century workforce. Innovation is the key to the nation’s economic recovery and global competitiveness. Arts participation—in school or in the workplace—strengthens our “creativity muscles,” which builds our creativity—the fuel that drives innovation. The report, aimed at business leaders, concludes, “the arts—music, creative writing, drawing, dance—provide skills sought by employers of the third millennium.” Businesses are using the arts to inspire employees, stimulate innovation and foster creative collaboration. The pARTnership Movement, A new campaign by Americans for the Arts, demonstrates how partnerships with the arts can help businesses enhance the critical thinking and creative skills of their workforce while improving employee engagement, recruitment and retention. By visiting www.pARTnershipMovement.org, businesses and arts organizations alike can access information about the benefits of arts and business partnerships, examples of successful arts and business partnerships, and resources to create partnerships in their communities.
Gifts/Souvenirs $3.90 Lodging $5.01 Child Care $0.34 Transportation Other $2.72 $2.82 Meals & Refreshments $13
$50.00
$40.19
$40.00
$30.00
$20.00
$19.53
$10.00
$0.00
Local Audiences Nonlocal Audiences
Arts Facts . . . Economic Impact of the Arts When public and private leaders fund the arts, they not only enhance our quality of life, but also invest in our economic well-being.
Economic Impact of the Nonprofit Arts Industry
lion
Arts organizations are responsible businesses, employers, and consumers. Spending by nonprofit arts and culture organizations—only a fraction of the total arts and entertainment industry—was an estimated $63.1 billion in fiscal 2005, and leveraged an additional $103.1 billion in event-related spending by arts audiences. This $166.2 billion in total economic activity supports 5.7 million FTE jobs and generates $29.6 billion in government revenue annually. From large urban cities to small rural towns, this research shows that the nonprofit arts are an economically sound investment. They attract audiences, spur business development, support jobs, and generate government revenue. Locally, as well as nationally, the arts mean business. The arts are a growth industry. In five years, the economic activity of nonprofit arts organizations and their audiences grew nearly 24 percent from $134 billion in 2000 to $166.2 billion (11 percent when adjusted for inflation).
Source: Arts & Economic Prosperity III, Americans for the Arts. 2007.
Arts Facts . . . Creative Industries An analysis of Dun & Bradstreet data reveals that the creative industries comprise 4.25 percent of all U.S. businesses and 2.15 percent of all U.S. jobs.
Creative Industries: Business & Employment in the Arts
Nationally, 904,581 Arts Businesses in the U.S. Employ 3.34 Million Workers
The Creative Industries study provides a research-based approach to understanding the scope and importance of the arts to the nation’s economy. This study is a unique representation of both the nonprofit and for-profit businesses involved in the creation or distribution of the arts. The creative industries are composed of arts-centric businesses that range from nonprofit museums, symphonies, and theaters to for-profit film, architecture, and advertising companies. Nationally, there are 904,581 businesses in the U.S. involved in the creation or distribution of the arts. They employ 3.34 million people, representing 4.25 percent of all businesses and 2.15 percent of all employees, respectively. These data are current as of January 2012. The source for these data is Dun & Bradstreet, widely acknowledged as the most comprehensive and trusted source for business information in the United States. Analysis is by Americans for the Arts. Using “geo-economic analysis,” Americans for the Arts can detail and map the creative industries by any political or geographic area in the country (e.g., city, county, state, or Congressional District). See the next page for an example of a Creative Industries report for a specific Congressional district. Creative Industries reports for all 435 Congressional Districts and 50 states can be downloaded at www.AmericansForTheArts.org/CreativeIndustries.
The Creative Industries in Pennsylvania Congressional District 19 U.S. Representative Todd Platts
This Creative Industries report offers a research-based approach to understanding the scope and economic importance of the arts in Pennsylvania Congressional District 19. The creative industries are composed of arts businesses that range from nonprofit museums, symphonies, and theaters to forprofit film, architecture, and advertising companies. Arts businesses and the creative people they employ stimulate innovation in today's global marketplace. Nationally, there are 904,581 businesses in the U.S. involved in the creation or distribution of the arts. They employ 3.34 million people, representing 4.25 percent of all businesses and 2.15 percent of all employees, respectively. The source for these data is Dun & Bradstreet, the most comprehensive and trusted source for business information in the U.S. As of January 2012, Pennsylvania Congressional District 19 is home to 1,690 arts-related businesses that employ 6,406 people. These arts-centric businesses play an important role in building and sustaining economic vibrancy. They employ a creative workforce, spend money locally, generate government revenue, and are a cornerstone of tourism and economic development. The map below provides a clear picture of the creative industries in Pennsylvania Congressional District 19, with each dot representing an arts business.
1,690 Arts-Related Businesses in Pennsylvania Congressional District 19 Employ 6,406 People
Artists in U.S. Workforce: 2001-2011
(in millions)
2.50 2.14 2.10 2.11 2.24
2.14
2.16
2.14
2.23
2.21
2.20
2.15
2.00
1.50
1.00 0.56 0.50
0.00 1965 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011
Students with High Levels of Arts Involvement: Less Likely To Drop Out of School by Grade 10 4.8%
5% 4% 3% 2% 1% 0% High Arts Involvement Low Arts Involvement
1.4%
Percentage of 18 to 24-year-olds Who Received Arts Education in Childhood
70%
64.8
60%
59.2 57.9
53.4 50.9
50%
47.2
43.5
White
40%
36.0 34.8
Af rican American
Hispanic
30%
27.4
26.2
28.1
20%
1982 1992 2002 2008
Disadvantaged Students with High Levels of Arts Involvement Are More Likely to Earn College Degree, Find a Better Job, and Volunteer
Comparison of High and Low Arts Involvement Among Low Social Economic Students:
80%
75%
70% 60% 50%
44%
69%
High Arts Involvement
37%
40%
37%
Low Arts Invovement
30%
20% 10% 0%
27% 20% 17%
Earned an Associates
Earned a Bachelors
Hold a Full Time Job
Volunteered
‐
‐
Arts Programs in U.S. Healthcare Institutions
80% 70% 60%
73%
49%
50% 40% 30% 20% 10% 0%
41%
25%
Visual Art Exhibits
In-Hospital Performances
Bedside Art Activities
Art Activities for Staff
Local Govt. 4% State Govt. 2% Federal Govt. 3%
Earned Income 60%
Corporate 3% Foundation 4% Individual 24%
$800 Million Local $706 Million*
$451 Million
State $263 Million**
$170 Million
NEA $146 Million
NEA Appropriations History Fiscal Years 1966 to 2012
2012 2011 2010 2009 2008 2007 2006 2005 2004 2003 2002 2001 2000 1999 1998 1997 1996 1995 1994 1993 1992 1991 1990 1989 1988 1987 1986 1985 1984 1983 1982 1981 1980 1979 1978 1977 1976 1975 1974 1973 1972 1971 1970 1969 1968 1967 1966
$146.0 million $167.5 million
$97.6 million
$176.0 million
$158.8 million
$2.9 Million
NEA Budget as a Percentage of (Non-Military) Discretionary Federal Budget
0.16%
0.14%
0.12% 0.10% 0.08% 0.06% 0.04% 0.02%
1982 0.113%
1996 0.040% 2012 0.028%
0.00% 1982
1984
1986
1988
1990
1992
1994
1996
1998
2000
2002
2004
2006
2008
2010
2012
NEA Funding Fails to Keep Pace with Inflation: 1992 to 2011
$300
$250
1992 Budget adjusted for inflation
$282 Million
$200
$176 Million
$150
$155 Million
$100
Actual Budget
$50
$0
Businesses Support for the Arts Changes with the Economy
Arts Facts . . . Business Support to the Arts With billions in arts funding, businesses play a key role in ensuring the health and vitality of the nation’s arts sector. Business support for the arts is driven less by a charitable focus and more marketing and sponsorship oriented.
According to the 2010 BCA Triennial Survey of Business Support to the Arts, total arts giving decreased by 14 percent between 2006 and 2009. The percentage of all businesses contributing to any philanthropic cause decreased from 70 percent in 2006 to 52 percent in 2009. Similarly, the percent of all businesses contributing to the arts during this period decreased from 43 percent in 2006 to 28 percent in 2009. In addition the median contribution to the arts per business across all business sizes decreased from $800 to $750.
Business Contributions to the Arts 2006 Percent change from 2006 in total arts giving Percent of all businesses contributing to any phlanthropic cause Percent of all businesses contributing to the arts in 3 year period (cash/non-cash) Median contribution to the arts per business Percent the arts received of total philanthropic contributions
Source: Americans for the Arts' Business Committee for the Arts, 2010.
2009 -14% 52% 28% $750 15%
70% 43% $800 13%
Despite the negative numbers lies some encouraging news. The BCA report shows that the percentage the arts receive of total philanthropic contributions is up slightly from 13 to 15 percent. Thus, while the amount of funding is dropping, the arts are getting a slightly bigger piece of the philanthropic pie. Also, among businesses that continue to support the arts, median giving rose among small businesses (from $500 to $700) and mid-sized businesses (from $2,000 to $2,250). As a result, small and mid-sized businesses more than ever contribute the largest share of arts dollars—contributing 69 and 24 percent respectively.
Reasons Businesses Support the Arts Sixty -percent of businesses say they support the arts because it is a good thing to do. While only 14 percent say giving is tied solely to business goals, another 23 percent say they give both for philanthropic and business goal reasons. This means a net of 37 percent of businesses mention relating arts giving to business goals. This is consistent with other studies that demonstrate business support for the arts is driven less by a charitable focus and more marketing- and sponsorship-oriented. This enables business to support the arts as well as use the arts to meet business goals, expand markets for products, and engage employees. One of the top reasons businesses support the arts or would consider supporting the arts is if there is a link to social causes or education. After profitability, this is the top reason businesses cited for increasing or considering supporting the arts. Arts & Music Sponsorship in North America (millions)
$1,000 $754 $867 $832 $820 $842 $885
Sponsorship The dollar amount of arts sponsorships have 2005 2006 2007 2008 2009 2010 2011 increased annually since a major Great Recession drop in 2008. Total sponsorships in North America are expected to be $18.2 billion in 2011, with the arts receiving approximately 5 percent. According to IEG’s Sponsorship Report, automotive and financial services are the two largest sponsorship categories for the arts.
Downward Pressure on Business Support to the Arts In an effort to achieve more measurable results from their philanthropy, more businesses are reducing their charitable focus to a single funding category, such as health or education. This single-focus giving rarely focuses on the arts.
Decade Trend of Arts Losing Market Share of Business Support: 1998-2010
14% 12% 10% 8% 6% 4% 13.9%
10.3% 8.9% 8.3% 8.0%
5.5% 4.7% 4.5% 4.9% 4.6%
5.7% 4.4% 4.0%
Mergers and acquisitions are resulting in 2% a negative impact on local giving, by 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 reducing the number of corporate Source: Conference Board, 2011. headquarters in communities across the country. Following the mergers, those local dollars are likely to be redirected to national and global issues such as health, education, and the environment—and seldom to the arts. The share of corporate philanthropy directed to the arts increased in 2008. The long-term trend, however, has been decidedly downward over the past decade, according to research conducted by the Conference Board. While much of this can be attributed to a huge increase of in-kind contributions of medications by drug companies, further analysis still demonstrates that the arts’ “piece of the pie” is getting smaller.
There is renewed interest in business support for the arts as it relates to building the 21st century workforce. The Conference Board’s research report, Ready to Innovate, touts the importance of arts education in building the 21st century workforce. Innovation is the key to the nation’s economic recovery and global competitiveness. Arts participation—in school or in the workplace—strengthens our “creativity muscles,” which builds our creativity—the fuel that drives innovation. The report, aimed at business leaders, concludes, “the arts—music, creative writing, drawing, dance—provide skills sought by employers of the third millennium.” Businesses are using the arts to inspire employees, stimulate innovation and foster creative collaboration. The pARTnership Movement, A new campaign by Americans for the Arts, demonstrates how partnerships with the arts can help businesses enhance the critical thinking and creative skills of their workforce while improving employee engagement, recruitment and retention. By visiting www.pARTnershipMovement.org, businesses and arts organizations alike can access information about the benefits of arts and business partnerships, examples of successful arts and business partnerships, and resources to create partnerships in their communities.
Gifts/Souvenirs $3.90 Lodging $5.01 Child Care $0.34 Transportation Other $2.72 $2.82 Meals & Refreshments $13
$50.00
$40.19
$40.00
$30.00
$20.00
$19.53
$10.00
$0.00
Local Audiences Nonlocal Audiences
Arts Facts . . . Economic Impact of the Arts When public and private leaders fund the arts, they not only enhance our quality of life, but also invest in our economic well-being.
Economic Impact of the Nonprofit Arts Industry
lion
Arts organizations are responsible businesses, employers, and consumers. Spending by nonprofit arts and culture organizations—only a fraction of the total arts and entertainment industry—was an estimated $63.1 billion in fiscal 2005, and leveraged an additional $103.1 billion in event-related spending by arts audiences. This $166.2 billion in total economic activity supports 5.7 million FTE jobs and generates $29.6 billion in government revenue annually. From large urban cities to small rural towns, this research shows that the nonprofit arts are an economically sound investment. They attract audiences, spur business development, support jobs, and generate government revenue. Locally, as well as nationally, the arts mean business. The arts are a growth industry. In five years, the economic activity of nonprofit arts organizations and their audiences grew nearly 24 percent from $134 billion in 2000 to $166.2 billion (11 percent when adjusted for inflation).
Source: Arts & Economic Prosperity III, Americans for the Arts. 2007.
Arts Facts . . . Creative Industries An analysis of Dun & Bradstreet data reveals that the creative industries comprise 4.25 percent of all U.S. businesses and 2.15 percent of all U.S. jobs.
Creative Industries: Business & Employment in the Arts
Nationally, 904,581 Arts Businesses in the U.S. Employ 3.34 Million Workers
The Creative Industries study provides a research-based approach to understanding the scope and importance of the arts to the nation’s economy. This study is a unique representation of both the nonprofit and for-profit businesses involved in the creation or distribution of the arts. The creative industries are composed of arts-centric businesses that range from nonprofit museums, symphonies, and theaters to for-profit film, architecture, and advertising companies. Nationally, there are 904,581 businesses in the U.S. involved in the creation or distribution of the arts. They employ 3.34 million people, representing 4.25 percent of all businesses and 2.15 percent of all employees, respectively. These data are current as of January 2012. The source for these data is Dun & Bradstreet, widely acknowledged as the most comprehensive and trusted source for business information in the United States. Analysis is by Americans for the Arts. Using “geo-economic analysis,” Americans for the Arts can detail and map the creative industries by any political or geographic area in the country (e.g., city, county, state, or Congressional District). See the next page for an example of a Creative Industries report for a specific Congressional district. Creative Industries reports for all 435 Congressional Districts and 50 states can be downloaded at www.AmericansForTheArts.org/CreativeIndustries.
The Creative Industries in Pennsylvania Congressional District 19 U.S. Representative Todd Platts
This Creative Industries report offers a research-based approach to understanding the scope and economic importance of the arts in Pennsylvania Congressional District 19. The creative industries are composed of arts businesses that range from nonprofit museums, symphonies, and theaters to forprofit film, architecture, and advertising companies. Arts businesses and the creative people they employ stimulate innovation in today's global marketplace. Nationally, there are 904,581 businesses in the U.S. involved in the creation or distribution of the arts. They employ 3.34 million people, representing 4.25 percent of all businesses and 2.15 percent of all employees, respectively. The source for these data is Dun & Bradstreet, the most comprehensive and trusted source for business information in the U.S. As of January 2012, Pennsylvania Congressional District 19 is home to 1,690 arts-related businesses that employ 6,406 people. These arts-centric businesses play an important role in building and sustaining economic vibrancy. They employ a creative workforce, spend money locally, generate government revenue, and are a cornerstone of tourism and economic development. The map below provides a clear picture of the creative industries in Pennsylvania Congressional District 19, with each dot representing an arts business.
1,690 Arts-Related Businesses in Pennsylvania Congressional District 19 Employ 6,406 People
Artists in U.S. Workforce: 2001-2011
(in millions)
2.50 2.14 2.10 2.11 2.24
2.14
2.16
2.14
2.23
2.21
2.20
2.15
2.00
1.50
1.00 0.56 0.50
0.00 1965 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011
Students with High Levels of Arts Involvement: Less Likely To Drop Out of School by Grade 10 4.8%
5% 4% 3% 2% 1% 0% High Arts Involvement Low Arts Involvement
1.4%
Percentage of 18 to 24-year-olds Who Received Arts Education in Childhood
70%
64.8
60%
59.2 57.9
53.4 50.9
50%
47.2
43.5
White
40%
36.0 34.8
Af rican American
Hispanic
30%
27.4
26.2
28.1
20%
1982 1992 2002 2008
Disadvantaged Students with High Levels of Arts Involvement Are More Likely to Earn College Degree, Find a Better Job, and Volunteer
Comparison of High and Low Arts Involvement Among Low Social Economic Students:
80%
75%
70% 60% 50%
44%
69%
High Arts Involvement
37%
40%
37%
Low Arts Invovement
30%
20% 10% 0%
27% 20% 17%
Earned an Associates
Earned a Bachelors
Hold a Full Time Job
Volunteered
‐
‐
Arts Programs in U.S. Healthcare Institutions
80% 70% 60%
73%
49%
50% 40% 30% 20% 10% 0%
41%
25%
Visual Art Exhibits
In-Hospital Performances
Bedside Art Activities
Art Activities for Staff
