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Economic Impact of the ENTIRE Nonprofit Arts and Culture Industry
<br />(Combined Spending by Both Organizations and Their Audiences)
<br />in the City of Eugene
<br />During fiscal year 2010, aggregute nunprorit sector speandIng by both (he City of Eugene's notiprorit arts and
<br />culture organizations and 111C.11 aUdIeTlCeS totaled $45.6 million. The table below demonstrates the total economic
<br />impact of this spending.
<br />TOTAL Economic Irnpactef the Nonprofit Arts and Culture Industry in the City of Eugene
<br />(Spending by Nonprol'it Arts and Culairc Organizations and Their Audi-eixcs)
<br />------------------------------------------------------------------------ -------------------
<br />Direct and Indirect Economic Impact: How a Dollar is Re-spent in the Economy
<br />Arts & Fxonumic Pray pordy IV uses a soph[sticWcd economic analysis ca lled input - output inalysis to measure econ - 0111 - 1c
<br />impact. It is - z system of mathematical equations that combines statistical mrilhods and economies iheory- Input-output analysis
<br />enables eccuoinists to track how inany tinics a dollar-is ""pent" wMin the local economy, and the economic impaol
<br />,generated by each round orspending, How cari a dollar be re-spent? Consider the fullGiving exaniple:
<br />A theater company is the City of Eugeite purchases several gallons of paint from a local hardware store for $20f). The
<br />hardivare store Illun uses a portion orthc $200 to pay [he sales clerk, lix saics derk re-spend-9 some of the money at a
<br />grocery store; the groccry store uses sme to pay its cashier; tile cashier sp unds some on rent; and so on...
<br />Thus. IN-, initial eNpundihure: by the llhroLcr company was foltowed by four additional rounds of local spending( y the hardware
<br />More, the sales clerk, the grocery s tore, and the cashier).
<br />• The ecoitomic impact err the (hcalter company's initial $200 expeaditure Is the direct economic impact.
<br />• Tbc econoinic impacts of 1he "bscqUCFLt rounds of ]oval speiLding are the indirect hopacts,
<br />• Eventually, the $200 dollars %viJl "leak out" of the local econgmy (i.e., be spent non-locally) and cease to have a local
<br />cconomic impact. in This example, it the theater company purchased the paint from a non-local hardware store, ihere
<br />would be no Local ccorkornic impact. Since che hardware: store is locate d in Lane County, the do I lots remain within [be
<br />local econotay and create at least uno snore round of local spending by the hardwarc conpany,
<br />■ The I at al impact is the su rn of the direct impact plus aril indirect impacts. This report provides the jqA&I i rm pact.
<br />Adollar "ripples" very diffierent through each voinniunity, which is whya customized jrtpul-output model was cmati:d fx:A
<br />City of Eugene.
<br />4
<br />.Ads $EC0rvmicPfQsj2@rty?V I Amerr for the Arts
<br />MWisill of
<br />Similar Study Regions
<br />City of Eugene
<br />Pop. - JK060 to 249,999
<br />National Medina
<br />Dirmt Expenditures
<br />$45,556,531
<br />$23,879,203
<br />$49,080,279
<br />Full-'rime Equivalent Jobs
<br />1,739
<br />X36
<br />1,533
<br />Resident Household Income
<br />$34,810,000
<br />Sl$,692,000
<br />$35,124,500
<br />Local Goycmrwnt Revenue
<br />51,678,4100
<br />$1,227,000
<br />$1,946,500
<br />State Govemment Revenuc
<br />$7413
<br />$ E,223,UDO
<br />$2,498,000
<br />Direct and Indirect Economic Impact: How a Dollar is Re-spent in the Economy
<br />Arts & Fxonumic Pray pordy IV uses a soph[sticWcd economic analysis ca lled input - output inalysis to measure econ - 0111 - 1c
<br />impact. It is - z system of mathematical equations that combines statistical mrilhods and economies iheory- Input-output analysis
<br />enables eccuoinists to track how inany tinics a dollar-is ""pent" wMin the local economy, and the economic impaol
<br />,generated by each round orspending, How cari a dollar be re-spent? Consider the fullGiving exaniple:
<br />A theater company is the City of Eugeite purchases several gallons of paint from a local hardware store for $20f). The
<br />hardivare store Illun uses a portion orthc $200 to pay [he sales clerk, lix saics derk re-spend-9 some of the money at a
<br />grocery store; the groccry store uses sme to pay its cashier; tile cashier sp unds some on rent; and so on...
<br />Thus. IN-, initial eNpundihure: by the llhroLcr company was foltowed by four additional rounds of local spending( y the hardware
<br />More, the sales clerk, the grocery s tore, and the cashier).
<br />• The ecoitomic impact err the (hcalter company's initial $200 expeaditure Is the direct economic impact.
<br />• Tbc econoinic impacts of 1he "bscqUCFLt rounds of ]oval speiLding are the indirect hopacts,
<br />• Eventually, the $200 dollars %viJl "leak out" of the local econgmy (i.e., be spent non-locally) and cease to have a local
<br />cconomic impact. in This example, it the theater company purchased the paint from a non-local hardware store, ihere
<br />would be no Local ccorkornic impact. Since che hardware: store is locate d in Lane County, the do I lots remain within [be
<br />local econotay and create at least uno snore round of local spending by the hardwarc conpany,
<br />■ The I at al impact is the su rn of the direct impact plus aril indirect impacts. This report provides the jqA&I i rm pact.
<br />Adollar "ripples" very diffierent through each voinniunity, which is whya customized jrtpul-output model was cmati:d fx:A
<br />City of Eugene.
<br />4
<br />.Ads $EC0rvmicPfQsj2@rty?V I Amerr for the Arts
<br />
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