Why the Arts Matter in New York

NATIONAL ARTS FACTS

NEW YORK ARTS FACTS

ARTS & CULTURE SECTOR'S PERCENTAGE OF U.S. ECONOMY

(Artists, University Arts, Commercial & Nonprofit Arts Organizations Combined)

4.2% of Nation’s GDP

U.S. Bureau of Economic Analysis reports that nationally the arts & culture sector was an **$876.7 billion industry in 2020**, representing **4.2%** of the nation's GDP, **4.6 million jobs**, & total compensation of **$446 billion.**

7.3% of NY STATE’S GDP

U.S. Bureau of Economic Analysis reports that the arts & culture sector contributed **$126.7 billion** to NY's economy in 2020, representing **7.3%** of the state's GDP, **435,693 jobs**, & total compensation of **$53.4 billion**.

LOSS OF REVENUE AND JOBS

(Commercial & Nonprofit Arts Organizations Combined)

NATIONAL IMPACT

Between **2019** and **2020**, the U.S. **arts economy** shrank at **nearly twice the rate** of the economy as a whole. Arts & cultural production fell by **6.4%** when adjusted for inflation, compared with a **3.4%** decline overall.

LOCAL IMPACT

NY arts & culture value added decreased by 6% between 2019 & 2020. In addition, arts & culture employment decreased by **13%**, dropping from **504,393** to **435,693**.

ECONOMIC IMPACT OF NONPROFIT ARTS ORGANIZATIONS & THEIR AUDIENCES

ECONOMIC
DRIVER

Nationally, the non profit arts industry alone generates **$166.3 billion in economic activity** annually that supports **4.6 million jobs** & generates **$27.5 billion** in federal, state, & local government revenue. Spending by arts audiences generated **$102.5 billion** to local businesses.

ECONOMIC
ENGINE

In 2015, New York’s arts & culture sector employed **thousands of FTE jobs** & generated **millions of dollars in economic activity.** Nonprofit arts groups helped cultivate that activity. In the **Western New York** region, nonprofit arts groups generated **$156.0 million** in economic activity. Audiences of 6.6 million people added another **$196.1 million** in related spending for a total of **$352.1 million** for the region in 2015, and this generated **$40.3 million** in local & state government revenues & **10,160 FTE jobs**.

PUBLIC INVESTMENT IN GRANTS TO NONPROFIT ARTS ORGANIZATIONS & ARTISTS

How much is the federal government investing in the National Endowment for the Arts (NEA)?

How much did New York receive in public funding for the arts and culture?

Congress allocated $180 million to the NEA in FY22. This amounts to just 54 cents per capita. Ideally, Congress should index $1 per capita funding the NEA. For COVID economic relief, Congress also allocated $75 million in CARES Act and $135 million in ARPA funding for distribution by the NEA. Additionally, Congress allocated $16 billion to the SBA for shuttered arts venues plus billions more for PPP and EIDL.

Source: Americans for the Arts Action Fund, 2022.

In FY21-22, the state allocated $106,622,000 to the New York State Council on the Arts. The New York State Council on the Arts also received $879,330 in federal NEA funds, which the Council re-granted to dozens of cultural organizations throughout the state. Another 404 non profit arts organizations received direct grants from the NEA totaling $16,523,000.

Source: NEA and NASAA, 2022