Released for the first time, a new study measures the economic boost Michigan gets not only from its nonprofit but also its for-profit creative sectors.
Take away Michigan’s art-and-culture nonprofits, according to the report produced by ArtServe Michigan, and the state loses out on $565 million in annual expenditures supporting 26,000 jobs.
Take away the for-profit sector — including publishing, design, architecture and advertising — and Michigan misses out on $3.6 billion in wages that support 74,000 people in 9,700 businesses from Monroe to Munising.
This is ArtServe’s third annual report on the creative economy.
“This year we really wanted to touch on entrepreneurs and for-profit businesses, knowing that’s a big part of the picture,” says Sarah Gonzales Triplett, ArtServe director of public policy. The report used the most recent data available, which was 2011.
Among other findings, for-profit creative businesses contribute nearly three percent of both total state employment and total wages.
The big four counties — Wayne, Macomb, Oakland and Washtenaw — together account for 70 percent of all wages paid by creative industries.
And while many parts of the state economy took a hit in 2008, notably manufacturing, according to the report arts-related employment increased 15 percent from 2006 to 2011. The number of arts-related businesses grew by 65 percent over the same period.
Both parts of the creative economy pay off big-time for the state’s tourism industry, and represent $2 billion out of the total $13 billion travelers and sightseers spent within the state in 2011.
That means arts, culture and historical activities account for 16 percent of the tourism-dollar total — more than golf, skiing, boating, hunting, fishing, hiking and biking combined.
This is a big deal, since the report also notes that, according to national statistics, visitors who build cultural activity into their trips spend 27 percent more per day than those who don’t.