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28.10.2011

Krisztina László PhD student , University of Pécs The cultural industry of the EU in the light of the economic crisis. 28.10.2011. What is cultural industry?. UNESCO definition:

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28.10.2011

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  1. Krisztina LászlóPhD student, University of PécsThe cultural industry of the EU in the light of the economic crisis 28.10.2011

  2. What is cultural industry? UNESCO definition: cultural industries include publishing, music,cinema and audiovisual production and multimedia, crafts and design creative industries:including architecture and different artistic categories: visual arts, performing arts One of the most dynamic sectors of the economy

  3. Financing arts and culture in the EU An overview 3 main kind of systems: • Top-down and state driven system - Disadvantages: no room for lobbying, arts may be influenced by state • British system - Funding is coming from the state, butit is not the state’s body that distributes it • Down-to-up method • Independent art councilsgives expert advice • The financial decision is made by the Minister of Culture

  4. Cultural expenditure by sector (before the crisis) • Public cultural expenditures • Museums: 27% • Performing arts: 24% • Libraries: 17% • Music: 7% • Other: 25% • Private invention • Profit-oriented organisations • Non-profit organisations • Individual donations

  5. The economic crisis • Gross Domestic Product (GDP) • Level of employment 2008-2009: 2.1% • The number of nights spent in hotels: 5.1%

  6. The spatial contagion Reference: Spatial Contagion of Global Financial Crisis. 2009.

  7. Cultural sector in 2009 Employment in the cultural sectors as a share of total employment (Cultural statistic 2011) • 3.6 million people were employed in 5 main cultural sectors (EU27) • 1.7% of total employment

  8. Cultural sector in 2009 Percentage of persons having part time job (Cultural statistic 2011) • Part time employment was more frequent in the cultural sector

  9. Cultural sector in 2009 Percentage of persons employed working at home (Cultural statistic 2011) • Working at home or having more than one job: • working at home is twice as high (26%) as in total employment • holding multiple jobs 6% in cultural sector -4% in total

  10. Financial Crisis and its Effect – Surveys Overview • CultureWatchEurope Survey in 2009: • 21 countries: overall reduction • 1 country: partial reduction • SICA publication in 2010 • None of the countries is currently in a position to provide a full picture of the impact of the economic crisis on cultural budgets • General expectation: the subsidised sector would see only limited effects

  11. Financial Crisis and its Effect - Surveys • Governments on Culture Budgets Survey 2011 (21 countries): • The impact of the crisis on public budgets for culture is less uniform than expected • Between 2009 and 2011: • 9 countries decreased their budget by 4% to 26% • 9 countries reported increase from 5% to 38% • 3 countries budget remained the same

  12. Effects on Culture PUBLIC RESOURCES FOR CULTURE • EU Structural Funds • Central government budgets • Regional level • Municipal level • Table: Change of cultural budget in the central government

  13. Effects on Culture • PRIVATE RESOURCES FOR CULTURE • Cultural habits and expenditure of citizens • European Capital of Culture title? • Individual donation • Corporate sponsorship

  14. Effectsby Sector • Performing arts • less exposed to sponsorship and donations • Festivals • decisive actors in the cultural life of countries • Museums • top museums did not reflect circumstances of a global crisis • Built heritage • show a very diverse picture • Books • only anecdotic evidence of crisis’ effect • Audiovisuals • Art trade

  15. Conclusion • Short time has passed • Main factors take longer to be realized • Needs to be done more survey on this matter • Financial crisis cannot be taken as an excuse for above-average cuts in the cultural industry

  16. Thank you for your attention!

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