Gotta give a huge shout out to Glenn Peoples and +Billboard for putting out this article about something that I've been saying for years. Music has value.
Or in Glenn's words
"TAKEAWAY: The music industry has always punched above it's weight in profile, but didn't always have the influence that matters. this GDP shift could help fix that disconnect.According to Bloomberg's this rise of the Intangible economy is for real and a couple of quotes from his article got my attention:
"The effect of the revision will be immediate. Measured GDP will get a one-time boost of about 2.7 percent when the government starts counting R&D and artistic creation as investments. (New Mexico and Maryland will get the biggest lifts.) The future growth rate will probably be fractionally higher, too. With R&D treated as an investment, measured economic growth from 1959 to 2007 would have been 3.39 percent annually instead of 3.32 percent, the BEA estimates."
"If all forms of intangible investment were officially recorded, they would exceed investment in bricks, mortar, and machines, according to estimates by economists Carol Corrado of the Conference Board and Charles Hulten of the University of Maryland." Link
The Rise of the Intangible Economy: U.S. GDP Counts R&D, Artistic Creation
It also seems that the Secretary Pritzker, from the Commerce Department is getting in on the act too by touring Music making facility and promoting USMADEMUSIC on the Sec's blog. which also points this fact out.
"In fact, entertainment, literary and artistic originals contributed $74 billion to the U.S. economy last year, according to the Department of Commerce’s Bureau of Economic Analysis."
So will these new “intellectual property products.” ( which is a now how cost of new music and other artistic endeavors are to be categorized) bring in the investors that are seeking sustainable returns like the double digits one I' recently blogged about as well as those that want to be part of something more. IMHO music has always been more than most of us can put a handle on and this new way of our economist looking at it helps others start to see the more too.