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Navigating the Creative Economy: Evidence-Based Policy Making for Sustainable Growth

This publication explores evidence-based policy making for the creative economy, emphasizing the need for transparency, identifying processes over indicators, and fostering learning. It delves into data collection methods, challenges in defining the creative economy, and proposing ways to measure its impact effectively. The text provides valuable insights on operationalizing concepts, measuring employment, occupation, industry, location, spending, and trade in the creative sector. It also discusses cultural trade, the production cycle, and capacity building strategies for sustainable development.

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Navigating the Creative Economy: Evidence-Based Policy Making for Sustainable Growth

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  1. A measure for the creative economy Andy C Pratt Culture, Media and Creative Industries Andy.pratt@kcl.ac.uk http://web.me.com/andycpratt/andy_c_pratt/Welcome.htm

  2. Evidence Based Policy • Policy making based upon transparency • Critical in policy process, terms of evaluation considered at the start. • Possibility of learning • Key is identification of processes, not indicators • Understand what is happening

  3. What’s in a name? • Which term: • Culture industry • Cultural industries • Creative industries • Creative and cultural industries • Creative economy • Is it: • For profit/ not • Public subsidy/not • Art/culture / not • Formal/ informal

  4. Data for the creative economy • In the past • Data was collected for advocacy purposes • It was not used for evaluation • What we need • Core concepts and theories • Information (quantitative and qualitative) • Comparative information • Policy development

  5. Creative economy data: characteristics • What we don’t know • In the dark • Invisible • We don’t know how much of what • We don’t know what causes what • What we do know • Data on the sector – external analysis (usually collected for other purposes) • Data of the sector – internal needs • Data for governance of the sector (collected for purpose) • Why we don’t know • Concepts and definitions • Unstable, or inappropriate • Rapidity of change • It’s new • It’s in the informal economy • How it’s organised

  6. Concepts • Descriptive models of relationship of creative economy to the rest • Or • Value chain – maximising value • Production chain – organisation of cultural production • Or, • No concept, but various indicators

  7. The creative economy production cycle • Particular characteristics need attention • The production chain • Inter-relationship of production processes (vertically and horizontally) • Scale(s) of operation

  8. Definitions • Definitions • Concept driven • Search for data to describe the process • Necessarily, absences and presences • Some data does not exist • Definitions can be refined, or locally specific • But concept is stable

  9. What to measure? • Employment • Occupation • Industry • Location • Time Use • Spending/ Consumption • Trade

  10. Operationalise the concept • E.g. Employment • Which industries (use of SIC codes) • Which occupations (use of SOC codes) • Trade • Which classifications (product classification CPC, EBOPS) • Fix other parameters (firm sizes, turnover etc.) • Spatial units • Time periods

  11. References

  12. Cultural Trade • Ideal • Material/Goods • By weight and value • Traditional goods • Services • Immaterial • Value? • Royalties? • Pragmatism • Disaggregation of classification • Missing • New goods • Non discernable • Missing • Value to whom? • Disaggregate • Still invisible • Reliability

  13. Cultural goods: a pragmatic solution used by UNCTAD 1 - A fine art painting 2 - A newspaper or book 3 - Designer furniture 4 - Designed furniture (high design content, mass produced) 5 - Industrial design 6 - Mass production of most other products 7a/7b - Distribution of cultural products (distinction not possible 7a-7b withcurrent industrial taxonomies) 8 - Distribution of all other products

  14. Next steps? • Understanding processes, and organisation • Different business models/ objectives • Resources (new collection, survey instruments, analytic skills, interpretive) • Legitimacy (no estimates, public data) • Comparative data/ benchmarking • Observatories/ Laboratories

  15. Possibilities: for policy making and governance • Role of intelligent agents • Knowledge brokers • Information dissemination • Cultural practice mentors • Management / organisational skills • Strategic development • Third sector (beyond ‘Silo’ mentality) • Governance, not simply regulation nor policy objectives

  16. Beyond the creative economy audit • Creative economy audits are simply a start • They must be more differentiated • They must be adaptable to change • They must to comparable • We need to examine process, and context • The future may not be like the past • Business models • Policy based on ‘how it is’, not‘how it should be’, nor ‘is supposed to be’. • Governance actually about governing (and transforming/ developing)

  17. Capacity building • Resources for institution building • Collection/Distribution of royalties • Development of audiences/markets • Alliances between Northern markets and South • ‘Correspondences’ between (regional) government agencies in measurement • Data for different purposes : not ONE definition

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