A new study sponsored by the film industry says that film and television spending in Louisiana may support more than twice as many jobs as are counted in the state’s official study. The biggest reason for the discrepancy, the study’s authors say, is that the official study by economist Loren Scott does not take into account increased tourism induced by Louisiana films and TV shows.
“It is no coincidence that Louisiana has suddenly gained widespread visibility, from a host of movies and reality shows set in Louisiana,” says Lt. Gov. Jay Dardenne in a prepared statement that accompanied the study’s release. “The industry has made significant contributions to the success of our tourism efforts and the three successive record-breaking years we have enjoyed.”
The study by HR&A Advisors, released this afternoon by the Motion Picture Association of America and the Louisiana Film Entertainment Association, attributes up to 33,520 jobs, $1.2 billion in personal income and $4 billion in state economic output to Louisiana’s film tax credits in 2013. Those figures include both production spending and, the study’s authors say, visitor spending attributable to film- and television-induced tourism. The study’s authors claim their survey shows that 14.5% of domestic, out-of-state travelers were induced to visit by Louisiana-based films and TV shows.
The Loren Scott study for Louisiana Economic Development says film industry production spending supported 13,175 jobs in 2013, along with $810.6 million in personal earnings and about $1.2 billion in total sales. Scott says the HR&A study actually finds a smaller economic impact than his until the 14.5% tourism impact is taken into consideration.
Scott says the 14.5% claim “doesn’t pass the laugh test.”
He says the input/output tables used in his study, constructed for the Louisiana economy by the federal Bureau of Economic Analysis, already covers indirect or multiplier effects.
“This is an important study for the industry,” Scott says. “My expectation is that it’s going to be very favorable for the industry.”
See the complete study released today by the film associations, and see the complete study by Scott.
—David Jacobs
