As of early June 2009 there were plenty of indications that the American economy, let alone the global economy, was still mired in what many called the worst recession since the Great Depression of the 1930s. Rising unemployment—predicted to top 10% before it was over—an increasing number of failing banks, bankrupted car manufacturers (once the jewels in the crown of America’s economic prowess), still rising residential foreclosures, lower tax revenues on the Federal, state, and local levels, and expanding deficits. Reports of the commercial and residential real estate market indicated contradicting trends; clearly, though, the commercial market was overbuilt while the residential market was in a plateau mode (reality check: prices continued falling; the bottom may be near) Consumers started saving more (a good thing in the long run), but spending less (not good for retailers in the short run). Foreign companies were buying parts of American companies (not necessarily a new trend), and China, in particular, owned (and still owns) a significant portion of America’s debt. This also is not a new trend. In 1980 as we transitioned from the Carter to the Reagan Administration, the United States was the world’s creditor nation. Today, we are the world’s debtor nation. What a difference 30 years makes!
All in all, it has not been a pretty economic picture.
On a more local level with respect to the music world, the picture was also spotty. On a 2009 visit to Swing 46 on New York City’s restaurant row, owner/manager “John” indicated to me they were holding their own. That night the popular George Gee and his nonet were performing. The dance floor was virtually packed. It was noisy and festive. But John also indicated that, appearances to the contrary, financially it was not great, but he was still in business. Birdland, Blue Note, and The Jazz Standard all seemed to be on a solvent economic keel, but there were (then) rumors and anecdotal reports that Jazz @ Lincoln Center was, to put it diplomatically, “having money problems.” So, too, the Metropolitan Opera. Not surprising really. The fallout from the Bernie Madoff debacle notwithstanding, many corporations and foundations dramatically reduced their contributions to deserving organizations. Some have ceased funding altogether.
Further, in New York several “venues” closed, for example, the ill-fated Brazilian-oriented club Cachaça, and Lola’s, the soul-food club, that hopes to reopen in another location. Sweet Rhythm reported low audience attendance and has since closed. Moldy Fig opened and closed in a New York minute it seems. And “non-club” venues closed or were about to: Manny’s Music Store on New York City’s 48th Street “music row” shuttered on May 31, 2009 because as Sam Ash Music stated “it wasn’t carrying its [economic] weight.”
And then there was Patelson’s (the classical music shop) right across the street from Carnegie Hall’s stage door. While Patelson’s was not a jazz-oriented music shop, it nonetheless represented an important aspect of the music world: printed classical music. It was one of “the” key places to go in New York City to find almost anything printed when it came to classical music. All over New York you saw “Available for Rent” signs where once were thriving retail outlets of all kinds. Even retail outlets associated with music and entertainment, such as restaurants, were doing business, but overall they were not reaching capacity.
Let’s bring this down to the jazz world, and more specifically, the jazz musician. I recall listening to a talk a few years ago by an executive of American Federation of Musicians Local 802 who was in involved in negotiating film-recording contracts. He reported that at one time the local had over 40,000 members. As of a few years ago it was around 10,000. It’s well documented that CD sales of all genres are down, way down. Today, a CD is more often than not a musical resume, rather than a product for profit. At the same time, the cost of attending a live jazz concert, regardless of venue, is out of reach for many, especially young people and those of limited economic means, the very same folks who need to hear the music to understand and appreciate its cultural relevance. Meanwhile, academic jazz programs all over the country are turning out highly skilled young musicians with little or no business training and fewer places to play, giving rise to an apparent growing number of non-traditional venues for performance purposes. At the same time the economic value of a musician’s skills, for most, are repressed.
Jazz radio is shrinking. All over the country, arts editors, let alone jazz or classical music reviewers, are losing their jobs. Local newspapers, often a source of promotion and support for local arts, are ceasing to exist. There are exceptions, of course, but everyone, everywhere seems to be feeling the economic pinch.
The deep recession exacerbated a much longer trend: the diminution of the social and economic value of the arts, let alone jazz, in the United States. Yes, there is recognition of the arts as a contributor to the economy. In an issue of Chamber Music, the official publication of arts organization Chamber Music America, Margaret M. Lioi, reported in her editorial that $50 million for the arts was included in the American Recovery and Reinvestment Bill. These funds went directly to the National Endowment for the Arts.
When the House voted on the final bill, Democratic Congressman David Obey, who sponsored the bill, explained why he thought it was important to retain NEA funding in the stimulus package: “There are five million people who work in the arts industry. And right now they have 12.5% unemployment—or are you suggesting that somehow if you work in that field, it isn’t real when you lose your job, your mortgage or your health insurance? We’re trying to treat people who work in the arts the same way as anybody else.”
To put this in larger economic context, the unemployment rate of those in the arts already exceeds the overall unemployment rate. It’s probable these numbers are understated. How much, I don’t know. But just on an anecdotal level, opportunities (demand) seem to be shrinking while the supply of those in the performing arts is growing.
Question is: jazz musician or not, what do you have to do in this kind of economic climate to survive? Do you lie down and die or do you get up and do something about it? The old saying is: when the going gets tough, the tough get going. Another is: it is in times of economic turmoil and sea change that many opportunities exist.
In next week’s blog, I’ll outline some highly practical strategies. To a large degree, they will have to do with perspective. One example: jazz musicians notwithstanding, people in the fine and performing arts generally need to embrace the business side of the arts and the importance of paying attention to money matters.
Eugene Marlow
April 1, 2012
© Eugene Marlow 2012