It’s More Than Just Naming A Minster of Culture And Other Measures To Help Creative Industries

by:

Joe Patti

To continue where I left off from yesterday’s post about the UNESCO document, Culture in crisis: Policy guide for a resilient creative sector, the next section addresses providing support for cultural and creative industries in the wake of the Covid epidemic. Whereas the policies covered in yesterday’s post were more targeted toward helping individual artists and organizations, this section is more focused on broader sectors. This part of the document has seven separate sections, but I don’t intend to take screenshots of them all.  Some of the proposals aren’t as relevant to non-profit arts organizations so I will summarize rather than going into detail.

The measures proposed in this section include: Accelerated payment of aid and subsidies; Temporary relief from regulatory obligations; compensation for business interruption losses; relief from taxes and social charges; stimulating demand; preferential loans; strengthening infrastructure and facilities.

Since I am writing from the bias of a U.S. based non-profit, some of these measures aren’t as significant as others.  Accelerated payment of aid is basically the suggestion to pay disbursements on grants already in place rather than waiting for final reports or the completion of services in order to allow organizations to remain liquid and finish all that stuff.

Relief from regulatory obligations as described in the document are focused on broadcast networks. I am not sure there are a lot of regulations in the U.S. that are inhibiting organizations from staying liquid and aren’t important for protecting workers and participants (i.e. those that deal with employment, health and safety, supervision of children in camps).

Similarly, relief from taxes doesn’t impact a lot of non-profit arts organizations. In some locations where the organization is making a voluntary payment to local government to support infrastructure, some discussion about payment is probably worthwhile. For those organizations that pay local/state sales tax, getting that removed in a time when tax receipts are way down is probably an extremely difficult conversation.

The preferential loans section is a valuable proposal, but the content of that section can be summarized as: The loans should be made, but the banking sector has insufficient understanding of the variations in creative organizations necessary to evaluate them for creditworthiness for loans so the banks need to be trained first.

Compensation for business interruption loss of course is a big issue, especially in terms of insurance paying claims. This section definitely is definitely worth reading since it is so relevant and balances the concerns of both government and industry.

Stimulating demand is a really interesting section and something folks in the U.S would love to see the government embrace. Look at that first line “The State is sending a clear message that the art and culture are essential services to which all citizens must have access.”

I appreciated the fact they noted change and results wouldn’t happen immediately and counseled a long term view.

I also think the observation that ministries of culture (or the NEA in the case of the US) does not have the expertise to stimulate demand is valuable to note. This is something extremely important to acknowledge when it comes to discussions about elevating arts & culture to Cabinet level position in the U.S. government. It isn’t enough to have someone in the position, the overall policy and practice of the government must be aligned toward cultivating both supply and demand. Even if the culture secretary/minister portfolio doesn’t have the ability to stimulate demand, government policy should be that those that do work hand-in-hand with the culture secretary/minister toward that end.

I debated whether to take a screenshot of the Infrastructure section because it states the well-known and easily summarized “Edifice Complex” truism. People like to fund impressive looking structures, but don’t want to fund the programs or people or programs that will inhabit the structures. However, I feel like we can all use the vindication:

Saving Culture and Creativity Without Compromising Their Best Interests

by:

Joe Patti

Very big THANK YOU to friend of the blog Rainer Glaap who sent me a link to an UNESCO document, Culture in crisis: Policy guide for a resilient creative sector. At this point I think I am going to approach this document over the course of multiple entries because there is so much I see to talk about. At 56 pages, it probably isn’t comprehensive but the suggestions it makes are well-considered.

UNESCO proposes three different areas in which governments can take action to support the culture and creative industries in light of the impact Covid has had upon them: 1 – Direct Support for Artists and Cultural Professional; 2- Support for Sectors of the Cultural and Creative Industries; and 3- Strengthening the competitiveness of the cultural and creative industries.

They have a number of proposed measures within each area. Today I am going to focus on the Direct Support area which had four suggested course of action areas: Social Benefits, Commissioning and purchase of works, Compensation for loss of Income and Skills Development.

I am going to provide screenshots of the content because I think they do such a good job presenting it. In each section they describe the measure, explain why it should be chosen, things to consider, pitfalls to avoid and then examples of good programs in different countries with different budget resources.

I appreciate the international perspective for the wide range of ideas of how to approach Covid related challenges, but also because it acknowledges not every country has the resources of a large industrialized nation, but can take effective measures to cultivate and preserve creative and cultural resources and practitioners.

What I really loved was Actions to Consider and Pitfalls to Avoid sections of each area because they anticipate things like support being perceived as hand outs or make work schemes as well as the problems with employing institutional standards to individual practice.

This is the one for the Social Benefit measure

Here is the one for commissioning work.  Take note about the concern for maintaining intellectual property rights, valuing the work properly, supporting artists but guarding against institutional seizure of power.

Here is the one for compensation of lost income. Note the concern for proper remuneration for female artists.

Finally, the skills development measure which is focused on experimenting so creatives are ready for the next normal.  Note that among the concerns is that this not be viewed as a stopgap until things revert back to “normal” as well as that the skills developed be put into practice quickly.

As I mentioned, there are also explanations of each category and examples of good international practices which I didn’t screenshot for this post so definitely check out the document to learn more.

Networks and Resources Have Always Mattered

by:

Joe Patti

I recently came across an article the LA Review of Books on the book The Death of the Artist: How Creators Are Struggling to Survive in the Age of Billionaires and Big Tech by William Deresiewicz.

Obviously, this sounded like a book I wanted to learn more about.

According to the reviewer, Robert Diab, Deresiewicz feels that the promise of the Long Tail espoused by Chris Anderson hasn’t emerged. He suggests that the broad ability to create has resulted a “..pie has been “pulverized into a million tiny crumbs.” The only people Deresiewicz feels have consistently benefited are big tech companies who have an interest in having people create content and then allowing other people to pirate that content.

This runs contrary to the early optimism of figures like former Wired editor Chris Anderson, who saw a bright future for less popular artists….Rather than a graph showing a sharp curve with most sales going to the top 100 or so artists, the net would lead to a graph with sales dispersed more gradually over millions of artists — leading to a long tail. But as Deresiewicz makes clear, this hasn’t happened. The net didn’t feed a long tail of content consumption; it just made the head of the curve a lot taller. In the 1980s, 80 percent of music album revenue went to the top 20 percent of content. Now it goes to the top one percent.

Deresiewicz conducted interviews with about 120 artists and found this to be the case across most disciplines. A lot of people were making very little. Others were doing moderately well, but weren’t able to really rise above a certain income cap. He also feels that artists are more vulnerable to market forces and less able to take the time to cultivate their ability. Unless Diab is misrepresenting Deresiewicz, I found myself disagreeing with some of his assumptions and conclusions.

According to Deresiewicz, the history of artists has moved from an apprentice to master system supported by patronage to the artist as a solitary genius and then to the post World War II model where “institutions — museums, theaters, orchestras, and universities — gave the creator a safe and steady perch.”

Deresiewicz feels that the concept of the artist as an entrepreneur responsible for managing all details for themselves has emerged in tandem with shift to institutions depending on temporary workers, adjunct instructors, general downsizing, and has not been beneficial.

But conditions today favor the amateur. They favor “speed, brevity, and repetition; novelty but also recognizability.” Artists no longer have the time nor the space to “cultivate an inner stillness or focus”; no time for the “slow build.” Creators need to cater to the market’s demand for constant and immediate engagement, for “flexibility, versatility, and extroversion.” As a result, “irony, complexity, and subtlety are out; the game is won by the brief, the bright, the loud, and the easily grasped.”

[…]

Deresiewicz shies away from putting it starkly, but the lesson is clear: a career on the older professional model — a gradual build to a moderate critical success — is only viable at this point for those who can support themselves for the long haul.

Again noting I have not read the book, the quibble I had with Deresiewicz is that throughout the range of history he mentions, it has always been the case that only those with either an independent source of wealth or family/friends network of support has been able to have an artistic career. You needed that to gain an apprenticeship during Da Vinci’s time and an internship any time in the last 25 years or more. Now granted, a much larger proportion of the population was supporting themselves as artisans during Da Vinci’s time than now, but the folks at the top of the social structure were also making  money from the work of those at the bottom.

I don’t doubt his statistics about 80% of revenue today going to 1% of content and the belief that an artistic career is becoming more tenuous and less remunerative. I just don’t know that what is required to carve out freedom to mature in ones artistic practice has worsened precipitously overall. It has always been weighted against those without access to connections and comparable resources.

Don’t Feel Obligated To Sink More Into Bad Choices

by:

Joe Patti

I am not saying anything new when I note that there are a lot of arts organizations which are incapable of taking much action due to Covid related legal restrictions or lack of resources. My assumption has been that those who are able to make plans or take action are exploring opportunities that require relatively low investment of time and resources — basically taking advantage of any option that allows them to stay nimble and muster the most leverage.

Much to my surprise, as few resources and time people have at their disposal, I have already started to witness people engaging in behavior reflective of  the sunk cost fallacy. This is the practice of feeling you have to continue down a path you recognize as a bad choice based on the fact you committed so much effort to this point. The Wikipedia article I linked to has some good examples – staying in a bad relationship because you have invested so much time and emotional energy in it, getting a membership to an expensive gym in order to force yourself to exercise, continuing a war because otherwise the sacrifice of lives would have been in vain.

One particular example given is applicable to the arts if you substitute a performance/visual arts experience in for deciding whether to stay or leave a ball game you aren’t enjoying:

The economist will suggest that, since the second option involves suffering in only one way (wasted money), while the first involves suffering in two (wasted money plus wasted time), option two is preferable. In either case, the ticket-buyer has paid the price of the ticket so that part of the decision should no longer affect the future. If the ticket-buyer regrets buying the ticket, the current decision should be based on whether they want to see the game at all, regardless of the price, just as if they were to go to a free baseball game.

Many people, however, would feel obliged to stay for the rest of the game despite not really wanting to, perhaps because they feel that doing otherwise would be wasting the money they spent on the ticket. They may feel they have passed the point of no return. Economists regard this behaviour as irrational. It is inefficient because it misallocates resources by taking irrelevant information into account.

One particular recent example I had in mind when writing this post resulted from sharing our research on livestreaming options and equipment after a successful execution with colleagues. What we had found was inexpensive and simple to use, especially in light of the fact that the cameras would communicate well with each other which made switching between camera angles very simple.

Despite our colleagues admitting that this sounded like a simpler option than the one they were working on which required more expensive and complicated equipment and software, they turned down our offer to lend them the equipment because they had put so much effort into researching their option. (I am pretty sure they hadn’t purchased everything they needed at that point.)

It should be acknowledge, there is probably no one out there that doesn’t make irrational decisions which are not in their best interest. I would bet Dan Ariely who studies irrational behavior for a living has succumbed a number of times. It isn’t terribly surprising given the times we live in that we make poor decisions based on gut or emotion, but all the more reason to pay very close attention to what is motivating your actions because there is so little margin for error.