Artivate: A Journal of Entrepreneurship in the Arts Volume 3, Issue 1 http://artivate.org pp. 51-53 ______________________________________________________________________________________________________________________ BOOK REVIEW Creative  Communities:  Art  Works  in  Economic  Development   Michael  Rushton,  editor.  Foreword  by  Rocco  Landesman   Review  by  Mark  A.  Hager,  Arizona  State  University       Every  edited  volume  has  a  creation  story.  According  to  the  foreword  and  editor   Michael  Rushton’s  introductory  chapter,  Creative  Communities  owes  its  origins  to  interests   within  the  National  Endowment  for  the  Arts  (NEA)  to  bolster  research  and  theory  on  the   economic  value  of  arts  and  culture  and  its  value  to  local  communities.    This  led  to  a  May   2012  Brookings  Institution  symposium,  and  ultimately  to  this  compendium  of  chapters.    So,   to  some  extent,  this  edited  volume  aggregates  people  who  were  at  the  right  place  at  the   right  time,  raised  their  hands,  and  were  able  to  put  their  foot  forward.     Rushton  does  an  admirable  job  of  laying  out  a  vision  for  the  volume.  The  NEA’s   interests  are  clearly  articulated  by  former  chairman  Landesman’s  foreword:  engage   economists  to  test  and  refine  a  pet  perspective  labeled  as  New  Growth  Theory.    Rushton   oversells  this  volume  as  the  culmination  of  those  interests.    Certainly,  it’s  a  great  vision:  a   cohesive  volume  with  multiple  teams  plumbing  the  details  of  a  single  perspective  would  be   a  welcome  and  potentially  landmark  achievement.    I  think  that  the  volume  is  best  judged   against  that  vision.         Although  no  one  clearly  points  to  the  literature  of  this  New  Growth  Theory,  Rushton   points  vaguely  back  to  the  1980s  and  outlines  his  view  of  its  major  tenets.    First,  it  is  an   ‘endogenous’  theory,  attributing  economic  change  to  controllable  forces,  such  as   investments  and  policy  decisions.    Second,  innovations  spill  over  to  other  firms  operating  in   a  particular  field,  which  operates  as  an  incentive  for  innovators  to  cluster  and  glean  spill   from  competitors.    Third,  knowledge  and  innovation  are  durable  and  malleable,  making   them  better  investments  than  physical  capital  and  labor  in  efforts  to  spur  economic  growth.     Are  these  tenets  generally  true?    Can  they  help  us  measure,  understand,  and  maximize  the   potential  of  arts  and  culture  to  communities?     In  his  own  overview,  Rushton  suggests  relevant  topics  and  applications.    Individuals   trade  and  consume  artistic  goods,  potentially  creating  economic  value.  Spillovers  and   clusters  may  explain  the  creation  or  location  of  cultural  producers.    Arts  and  cultural   production  may  attract  creative  talent,  who  may  in  turn  attract  the  innovative  talent   necessary  to  develop  a  local  knowledge  economy.    With  the  stage  effectively  set,  Rushton   turns  to  his  contributors.     While  I  cannot  speak  for  Rushton,  my  assessment  is  that  the  volume  does  not   approach  the  vision  that  he  sets  for  it.    Whether  it  might  meet  readers’  expectations  will   likely  depend  on  what  they  want  out  of  the  volume.    Regarding  the  state  of  the  art  in   research  on  the  relationship  between  arts  and  community,  it  is  typical  of  an  edited  volume:   uneven,  uncoordinated,  though  occasionally  brilliant.    Regarding  the  vision  of  New  Growth   Theory  as  a  guiding  light  for  research  on  the  value  of  arts  in  community,  the  various   contributors  seem  barely  aware  of  it.                   Though  self-­‐contained  and  disconnected,  I  should  say  that  each  of  the  chapters  in   the  volume  are  interesting  in  their  own  right.    Contributions  to  New  Growth  Theory  aside,   there  are  good  reasons  why  each  team  was  invited  to  the  Brookings  symposium  and  why   each  was  ultimately  invited  into  the  Creative  Communities  volume.    Schuetz  gets  the  first   _____________________________________________________________________________________________________________________ Copyright © 2013, the author Hager Book review: Creativity and Entrepreneurship ______________________________________________________________________________________________________________________ substantive  chapter  with  her  study  of  art  galleries  in  Manhattan.    One  wonders  why  it   occurs  to  her  to  examine  whether  commercial  art  galleries  might  influence  neighborhood   and  physical  development,  except  that  the  question  generally  fits  in  with  the  themes  of   Creative  Communities.  The  theoretical  underpinnings  are  uncertain,  and  she  gives  no  lip   service  to  New  Growth  Theory.    She  reports  no  particular  effects  of  physical  redevelopment   that  might  be  attributed  to  the  presence  of  art  galleries,  which  is  the  upshot  of  her  fine   study.  Attention  to  the  clustering  of  galleries  might  have  established  an  anchoring  to   Rushton’s  themes,  but  the  chapter  instead  serves  as  notice  that  contributors  could  go  their   own  way  without  necessarily  immersing  in  or  extending  those  themes.     On  the  other  hand,  articulation  of  theory  is  central  to  at  least  the  opening  sections  of   the  next  chapter,  by  Markusen,  Nicodemus,  and  Barbour.    They  advocate  bringing   ‘consumption’  into  economic  (or  export)  base  theory.    For  me,  some  of  these  ideas  already   underlay  the  economic  impact  studies  that  Rushton  is  dismissive  of  in  Chapter  1,  although   the  authors  do  not  suggest  that  kind  of  connection.    More  arts  might  foster  arts   consumption.  The  labor-­‐intensive  nature  of  arts  and  cultural  work  might  result  in  more   local  spending.    Arts  activity  might  attract  more  non-­‐arts  creatives.    Despite  the  interesting   empirical  work  here,  I  came  away  with  two  critiques:  one,  the  analysis  seemed  to  call  for   the  input-­‐output  analyses  common  in  economic  impact  studies,  but  that  connection  is  not   made;  two,  the  connections  to  New  Growth  Theory  are  not  made,  despite  the  softball   opportunities  to  do  so.         The  next  two  chapters  have  less  pretention  to  theory.    Maloney  and  Wassall  are   interested  in  cultural  economic  development  initiatives  at  the  municipal  level.    Such  policy   action  might  have  endogenous  influence  on  community  economic  development,  and   therefore  implications  for  New  Growth  Theory,  but  that  chapter  does  not  go  there.    Rather,   the  chapter  stands  alone  as  a  descriptive  case  study  of  a  Massachusetts  initiative.    A  couple   thousand  miles  away  stands  another  policy  initiative,  Denver’s  Scientific  and  Cultural   Facilities  District,  and  the  topic  of  Schmitz’s  study.    Do  the  district’s  organizations  have   revenue  advantages  over  organizations  outside  it?    Apparently  not.  Does  support  of  these   organizations  result  in  crowding  in  or  crowding  out  of  other  kinds  of  support?    Apparently   not.    Might  the  spillover  of  innovations  clustered  in  a  cultural  district  be  a  better  topic  for  a   volume  on  New  Growth  Theory?  Apparently  not.     Chapter  6,  by  Root-­‐Bernstein  and  seven  co-­‐authors,  is  the  best  reason  to  pick  up   Creative  Communities.    Like  other  chapters,  it  generally  eschews  the  New  Growth  Theory   vision  promoted  by  the  NEA  and  Rushton.    Nonetheless,  its  topic  and  discussions  are  most   relevant  to  it,  and  perhaps  ultimately  most  critical  of  it.    They  ask  seemingly  innocuous   questions  about  who  is  entrepreneurial  and  who  is  innovative,  and  how  such   characteristics  translate  into  scientific  and  cultural  clusters  of  innovation.    Their  empirical   work  centers  on  the  relationship  between  STEM  (science,  technology,  engineering,  math)   impresarios  and  their  attitude  toward  arts  and  culture.    Their  discussion  (starting  on  page   112)  of  the  complex  relationship  between  STEM  and  the  arts  is  the  most  theoretically   relevant  discussion  of  the  entire  volume,  especially  considering  New  Growth  Theory’s   reported  concern  for  how  arts  creatives  might  attract  non-­‐arts  innovators.    The  criticism,   however,  comes  from  Root-­‐Bernstein  et  al.’s  observations  that  relationships  are  complex,   slow  to  develop,  and  fraught  with  uncertainty:  a  stark  reminder  that  the  social  world  rarely   boils  neatly  down  to  a  page  or  two  of  theoretical  principles.   _____________________________________________________________________________________________________________________ Artivate 3 (1) 52 Hager Book review: Creativity and Entrepreneurship ______________________________________________________________________________________________________________________     Noonan  and  Breznitz’s  chapter  feels  much  like  the  two  preceding  the  richer  Chapter   6.    It  is  an  empirical  study  of  universities  and  arts  districts  grounded  in  the  hypothesis  that   universities  should  foster  innovation  and  arts  districts  support  the  culture  associated  with   economic  expansion.    Economic  growth  is  measured  by  employment  share  and  patents.     However,  these  scholars  report  little  influence  of  universities  and  arts  districts  on  these   measures.    The  implications  for  New  Growth  Theory  might  be  profound,  but  are  left   unexplored.    Rather,  and  like  Root-­‐Berenstein  et  al.,  they  point  to  the  complexity  of  the   relationships  and  the  inability  for  crude  analytical  tools  to  discern  them.    If  only  somebody   would  lay  down  a  specific  theoretical  perspective  and  organize  scholarship  around  that   perspective,  maybe  we  could  make  progress  on  those  fronts.     To  Kushner’s  credit,  his  chapter  8  at  least  mentions  New  Growth  Theory.    The   interesting  empirical  analysis,  however,  develops  at  the  periphery  of  the  vision  outlined  by   Rushton.    Rather  than  considering  the  central  question  of  the  value  of  the  arts  to   community,  this  chapter  asks  how  different  community  characteristics  influence  the   development  of  arts  organizations.    Kushner  hypothesizes  that  cultural  expenditures,   cultural  participation,  and  overall  community  capacity  will  influence  enterprise  formation,   and  his  county-­‐level  analysis  bears  this  out.    This  chapter  features  what  appears  to  be  the   best  data  in  the  volume.         However,  the  title  of  most  sophisticated  data  analysis  falls  to  Pedroni  and  Sheppard   who  ask  a  deceptively  simple  question:  does  arts  and  culture  production  result  in  more   permanent  increases  in  local  economic  growth?    That  is,  is  it  more  lasting  than  other  kinds   of  economic  production?    Their  answer:  yes.    However,  this  interesting  finding  seems  more   relevant  to  the  economic  impact  arguments  that  Rushton  rushes  by  rather  than  the  New   Growth  Theory  that  supposedly  frames  the  volume.     The  final  chapter  falls  to  Bakhshi,  Lee,  and  Mateos-­‐Garcia’s  atheoretical  exploration   of  the  relationship  between  arts  and  cultural  activity  and  local  economic  performance.     They  do  make  efforts  to  situate  their  work  in  the  volume,  characterizing  local  cultural   activity  as  “clustering,”  and  referring  to  the  potential  of  innovation  spillovers.    However,   rather  than  advancing  these  ideas,  these  references  merely  provide  context  for  an   empirical  contribution.    Like  so  many  other  findings  in  preceding  chapters,  results  are   mixed.    We  leave  the  chapter  uncertain  of  the  potential  relationship  between  arts  activity   and  prevailing  wages.    We  turn  the  page,  hopeful  of  a  more  fruitful  ending,  perhaps  final   thoughts  from  Rushton  on  the  volume’s  contributions.     But  the  curtain  falls  instead,  all  index  and  silence.    What’s  left  is  my  critique  of  the   volume:  two  familiar  conclusions.    One,  this  is  a  handsome  collection  of  interesting  studies.     Two,  they  do  not  add  up,  do  not  turn  on  or  advance  New  Growth  Theory,  do  not  give  sum  to   the  vision  for  why  they  are  brought  together  in  this  volume  to  begin  with.  They  are  floats  at   a  parade,  winding  by  one  after  another,  separate  and  independently  adorned.   _____________________________________________________________________________________________________________________ Artivate 3 (1) 53