The state of the cultural economy: the rise of the cultural economy and the challenges to cultural policy making

This paper will take the opportunity to reflect upon the question of cultural policy in the 21st Century. It highlights the factors to be taken into account. It argues that the old models will no longer work due to the changing nature of culture and the cultural economy. The paper will map out these changes as a prelude to rethinking cultural policy making. The presentation will note the growth of the cultural economy in the last 50 years and highlight the trends in an international context. It will explore issues associated with the changing definition of culture and the cultural economy; in particular, the re-positioning of the cultural economy in relation to: the formal/informal, not-for-profit/for profit, production/consumption, and the economic/socio-cultural. The paper discusses the changing nature of cultural production and of cultural work; and, the 'culturalisation' of the economy. Finally, it highlights the 'instrumentalisation' of culture and its utilisation in marketing places and 'creativity' strategies