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Read below about how Theatre & the Arts impact community economies.

The ECONOMIC IMPACT of THEATRE

Philadelpha's Avenue of the Arts. An Economic Success Story that Inspired other Cities & Communities

"The Avenue was conceived in 1993 by a coalition of public and private entities to attract visitors to Center City. Amid a decline in manufacturing, promoting entertainment amenities seemed like a sure way to revive moribund commercial areas and increase tax revenues. Rebranding Broad Street as a performing arts destination was part of the city’s broader push to bring suburbanites and tourists to downtown Philadelphia. . . .

When he was elected, Mayor Edward Rendell found South Broad Street almost entirely barren. “On a Saturday night in 1991,” he remembered, “you could walk the mile from City Hall to Washington Avenue and you wouldn’t have seen 100 people.” Although a handful of arts-focused institutions persisted—the University of the Arts, the Shubert Theatre, the Pennsylvania Academy of the Fine Arts—they suffered from the broader [economic] decline.

Upon entering office in 1992, Rendell searched for a project that would help to revitalize the city—improving its image, spurring real estate development, and encouraging tourism. South Broad Street, which already had two redevelopment plans in motion, seemed ideal. . . . Drawing tourists and regional visitors for shows, performances, and exhibits, and other entertainment, the Avenue of the Arts initiative sparked widespread residential and commercial development"

Arts Strengthen the U.S. Economy

Arts strengthen the economy. The arts and culture sector is a $730 billion industry, which represents 4.2 percent of the nation’s GDP—a larger share of the economy than transportation, tourism, and agriculture. The nonprofit arts industry alone generates $135 billion in economic activity annually (spending by organizations and their audiences), which supports 4.1 million jobs and generates $22.3 billion in government revenue.
Arts are good for local businesses. Attendees at nonprofit arts events spend $24.60 per person, per event, beyond the cost of admission on items such as meals, parking, and babysitters—valuable revenue for local commerce and the community.
Arts are an export industry. The arts and culture industries posted a $30 billion international trade surplus in 2014, according to the BEA. U.S. exports of arts goods (e.g., movies, paintings, jewelry) exceeded $60 billion.
Arts drive tourism. Arts travelers are ideal tourists, staying longer and spending more to seek out authentic cultural experiences. Arts destinations grow the economy by attracting foreign visitor spending. The U.S. Department of Commerce reports that, between 2003-2015, the percentage of international travelers including “art gallery and museum visits” on their trip grew from 17 to 29 percent, and the share attending “concerts, plays, and musicals” increased from 13 to 16 percent.

reprinted from Americans for the Arts

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