LECTURE 2: FROM THE CREATIVE CLASS TO THE CREATIVE CITY - UNPACKING THE CREATIVE ECONOMY AT THE MACRO-SCALE Flashcards
Old (Adam Smith style) theory of why some places prosper and why others don’t?
Cities become rich or powerful because of the access to specific resources –> e.g. being located next to fertile farmland, forests and mineral deposits was the key but being next to rivers, harbours and good transportation routes was also important.
Driving force behind the I.R. was…and…
.. manufacturing woo!
availability of lots of cheap labour
What does regional competition imply?
Cities would try to attract manufacturing companies to set up a factory in their town or city because they knew this would create jobs and prosperity
1) What would cities promise (during regional competition?)
2) Name
1) Cheap land, low taxes and relaxed labour and environmental regulations if they relocated there
2) Smoke-stack chasing.
Most prosperous economies are it is not about big polluting factories anymore is it?
So what happened?
Economy has shifted from being based on natural resources or manufacturing to ideas and innovation
1) What is the ‘new knowledge economy’ based on?
2) How does it generate growth and wealth? (2)
1) Intellectual capital
2) By creating new products and new markets and by coming up with better ways to design or build existing products
1) e.g. of Apple generating wealth
2) Value of materials vs product design
1) Didn’t invent computers etc but through knowledge, innovation and design, they improved upon them to become successful
2) Value of the materials, the production and the distribution is very small compared to the value of the product design
If ideas drive the economy, then prosperity increasingly rests on…
… attracting skilled knowledge workers or talent
Skilled knowledge workers or talent are not tied to specific places but instead are…
… highly mobile in the global economy
Talent ___in certain attractive places and firms…
CLUSTER
follow the talent
Origin of Florida coming up with idea of creative class
- At the time was living and working in Pittsburg which was a booming city in the industrial age (steel city)
- But during 1980/80s = lost companies, jobs and over 1/2 its pop
What could Florida not understand?
Hint: relating back to Pittsburg
Why Pittsburg was losing peeps and jobs and all when the city had world class universities, and infrastructure
–> Had lots of technology companies, sports teams and cultural facilities –> So by any conventional measure it should be attractive for people and companies and should be thriving in the new economy.
What did Florida find out after contemplating Pitsburg?
Technology, for example, is important but insufficient if…
Certain things were important on their own not but enough for economic development and prosperity
… you don’t have talent.
As florida argues, if the creative capital theory for economic development argues that skilled and educated people drive growth and these people are mobile then the fundamental question becomes…
…why do creative people cluster in certain places?
How does Florida define the creative class? (2)
1) “distinguishing characteristic of the Creative Class is that its members engage in work whose function is to create meaningful new forms”
2) Essentially members of the creative class are ‘paid to think’
2 groups of creative class
1) SUPER-CREATIVE CORE
- includes scientists, engineers, uni professors, poets and novelists, artists, designers, actors etc
2) CREATIVE PROFESSIONALS
- Work in a wide range of knowledge-intensive industries such as high-tech sectors, financial services, legal and healthcare professions etc
US 2014 CC statistic
His creative class included about 41 million Americans which represented roughly 30% of the US workforce
Service work vs creative work for importance
In the US, more people do work in the service sector but the majority of the wealth that is generated comes from the creative jobs
Critique of Florida…
… but what he actually says
Often accused of promoting the interests of a small group of creative elites at the exclusion and expense of lower skilled workers in the service and working classes
… all human beings are inherently creative and have the potential to be members of the creative class but only a small group are lucky enough to get paid to think.
2010: overall average wage for members of CC vs average for working class and service class
- CC members = $70,000/pa
- Working class = $36,000/pa
- Service class = $20,000/pa
Variations within the $70,000 earners
Lawyers and people in management earn about 97,000 while designers, media works and people in education earn closer to 50,000.
Brian’s research of income of super-creative core
Super creative core like musicians, actors and dancers earn below $15,000
When Florida says ‘class’ he doesn’t mean economic class but rather…
… a group unified by the type of work they do
So some policies directed at CC, like building new cultural quarters, may be great for… but…
may be great for wealthy lawyers who can afford to take advantage but won’t benefit lower paid creatives let alone manufacturing or service workers
CC members and exercise
They are drawn to places that offer active outdoor recreational activities like hiking, cycling, kayaking, skiing and snowboarding –> because creative work is largely intellectual and sedentary = want to go out and be active after a long day of working on the computer
CC members preferences @ the cultural level (acc. to Florida)
They are not attracted to places that have professional sports teams or big museums or operas but rather vibrant street level culture e.g. coffee shops, restaurants and bar, bookstores
Presence of what attracts creatives who want to be stimulated?
musicians and music scenes
CC members and hours
have flexible hours, they want activities that are available all the time. If you don’t finish work until 10 pm, an art gallery that closes at 5 is no good. You need places that are open and music venues and coffee shops usually are