Study: N.Y. biz is booming
EmptyNEW YORK -- New York state's entertainment industry boom might have been grossly underestimated. A new study by the New York Film, Television and Commercial Initiative says the economic impact of film, television and commercial production in the state totaled an estimated $13.3 billion in 2005, more than double the $5 billion often cited by government officials.
It was one of several findings in a study conducted by Cornell University researchers and the Fiscal Policy Institute.
"New York's Big Picture: Assessing New York's Position in Film, Television and Commercial Production" also found that for every 100 direct entertainment industry jobs, an additional 210 peripheral jobs are created, one of the largest "multiplier effects" among any industry in the state. City and state tax credits along with investments in soundstage capacity drove growth in the entertainment industry up considerably in 2005 from third-quarter 2004.
Not all the news was good. State commercial production continued to decline, in part because of ad agency headquarters moving to Los Angeles and London. Increased pressure to cut costs -- caused by globalization and more competition from other states and international locations -- has caused production companies to base more location shoot choices on economic instead of creative reasons.
"Big Picture" was commissioned by the NYFTCI, a committee of the New York Production Alliance including studio owners, labor union reps and entertainment industry trade association execs. Primary funding came from local-based production companies, vendors, trade associations and labor unions, with additional support from the New York City Council, Assemblyman Joseph Morelle and state Sen. Michael Balboni.