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OLR Research Report


October 2, 2009

 

2009-R-0338

MASSACHUSETTS' CREATIVE ECONOMY COUNCIL

By: Rute Pinho, Research Analyst II

You asked for information on Massachusetts' Creative Economy Council.

SUMMARY

The Massachusetts legislature created the Massachusetts Creative Economy Council in 2008 to develop a statewide strategy to enhance, encourage, and grow the state's creative economy and promote responsive public policies and innovative private sector practices. Among other things, the legislature charged the 25-member council with (1) recommending ways to restructure economic programs within state government to support creative economy efforts, (2) establishing metrics to measure the creative economy's effect on other economic sectors, and (3) developing education and career paths for creative industries.

The body of research on the creative economy diverges on whether researchers interpret the creative economy as based in culture or innovation. One set of models emphasizes the production of cultural goods and services, while the other emphasizes the role of intellectual innovation. The Massachusetts legislation is consistent with the cultural model. It defines the creative economy to include the many interlocking industry sectors that center on providing creative services, such as advertising, architecture, arts, film, computer games, multimedia, and design.

The council recently issued its mid-year report (see attached), which includes summaries of its working group meetings and a list of policy suggestions. The final report is due by December 1, 2009 and will include proposals for the next legislative session and an outline of the council's plans for the next two years.

DEFINING THE CREATIVE ECONOMY

There is no clear definition of the creative economy that emerges from the body of research on the topic. A 2007 study by the New England Foundation for the Arts (NEFA) noted that creative economy research models have at least two distinct frameworks. One set of models emphasizes the production of cultural goods and services, while the other emphasizes the role of intellectual innovation. In other words, studies diverge at whether they interpret the creative economy as based in culture or innovation.

The research framework outlined in the NEFA study defined the creative economy as the sector that produces and distributes cultural goods, services, and intellectual property. Richard Florida, an economist frequently cited for his research on the “creative class,” applies a broader definition that includes people who engage in creative problem-solving and “create meaningful new forms.” Florida's creative class includes high-tech sectors, financial services, and legal and healthcare professions (“The Rise of the Creative Class,” Washington Monthly, May 2002).

The Massachusetts legislation allowed the council to define the creative economy to include, but not be limited to, the many interlocking industry sectors that center on providing creative services, such as advertising, architecture, arts, film, computer games, multimedia, or design. This is in line with the definition used in NEFA study and the Berkshire Creative Economy Report, referenced in the Massachusetts' council's implementing legislation. The Berkshire report defined the “creative sector” as “the enterprises and people involved in the production and distribution of goods and services in which the aesthetic, intellectual, and emotional engagement of the consumer gives the product value in the marketplace.” The report identified the seven key segments of the creative sector in Berkshire County as media, commercial arts, design, literary, visual arts and culture, performing arts, and heritage and conservation.

MASSACHUSETTS CREATIVE ECONOMY COUNCIL

Membership and Duties

The Massachusetts legislature created the Massachusetts Creative Economy Council in 2008 to develop a statewide strategy to enhance, encourage, and grow the state's creative economy and promote responsive public policies and innovative private sector practices (Chapter 354 of the Acts of 2008). The council's 25 members include legislators; executive branch agency heads; industry leaders; and representatives of select colleges and universities, and arts, tourism, and cultural organizations.

The legislature charged the council to accomplish its charge by:

1. researching and evaluating studies to locate and identify best practices that easily transfer to the state;

2. reviewing the recommendations in the 2006 statewide conference report, “Innovation Agenda: Growing the Creative Economy in Massachusetts,” the Berkshire Creative Economy Report, and other research-based recommendations;

3. providing recommendations on restructuring state economic programs and proposing legislation to enhance creative economy efforts;

4. establishing metrics to measure the creative economy's effect on other economic sectors and creating a database of statewide research;

5. fostering education and workforce development in the creative economy by stimulating efforts to develop career pathways for creative industries;

6. researching the potential for an online resource directory, including developing and promoting a website to highlight the creative economy and its member companies and organizations;

7. researching the potential for a comprehensive communications program targeting member communities, organizations, and stakeholders to promote networking across the creative economy sector; and

8. researching methods to brand Massachusetts as a creative economy leader.

Policy Suggestions

The council formed five working groups (tourism, researchers, for-profit businesses, regional and local initiatives, and artists) to discuss issues affecting specific stakeholders in the creative economy. Each group compiled its policy suggestions based on its particular expertise. The council also polled its legislative members to gather their suggestions for legislative action and worked with the Massachusetts Cultural Council to solicit suggestions from nonprofits.

The suggestions included:

1. rebranding Massachusetts as the leading creative economy state,

2. establishing seed funding for creative entrepreneurs,

3. creating trade missions for creative industries,

4. revising state laws to protect an heir's right to an artist's work after the artist's death,

5. defining the Massachusetts creative economy using standard industry codes, and

6. developing the creative economy workforce by focusing on talent retention and building connections between business and universities.

The council's final report, due December 1, 2009, will include a proposed comprehensive creative economy bill and outline the council's plans for the next two years of its work.

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