AEP6 Reports Tennessee’s Nonprofit Arts and Culture Industry Generates $1.4 Billion in Economic Activity

By Anne B. Pope, Executive Director  – 

Tennessee’s nonprofit arts and culture industry generates $1.4 billion in annual economic activity—supporting 23,465 full-time equivalent jobs and generating $1.1 billion in household income and $345.6 million in local and state government revenues, according to the Arts & Economic Prosperity 6 (AEP6) national economic impact study.  

The Tennessee Arts Commission, the state’s arts agency, commissioned the statewide study, joining 21 other states and 373 communities and regions across the country. AEP6 is the most comprehensive economic impact study of the nonprofit arts and culture industry ever conducted in the United States and represents all 50 states.  

Senator Becky Duncan Massey, Chair of the Tennessee General Assembly Arts Caucus stated, “The Arts Caucus members understand that arts and culture impact and enriches our communities in many positive ways. This study validates that the nonprofit creative economy is an engine for growth and development across Tennessee.” 

Nonprofit arts and culture organizations spent $617.4 million during fiscal year 2022. This spending is far-reaching: organizations pay employees, purchase supplies, contract for services and acquire assets within their community. Further, the study shows a total of 63,898 volunteers donated nearly 2 million hours to their communities through the nonprofit arts and culture sector generating an estimated value of $53.9 million. 

In addition to spending by organizations, the nonprofit arts and culture industry generates $746.2 million in event-related spending by its audiences. As a result of attending a cultural event, attendees often eat dinner in local restaurants, pay for parking, and buy gifts and souvenirs. Out of town attendees spend $78.44 per person on average. The average of local and non-local spending is $35.18. 

The Tennessee Arts Commission worked with 21 local partners to produce a statewide report and customized city, county and regional reports. Data was collected from 770 participating nonprofit organizations across the state and included over 13,000 audience surveys. The study does not include numbers from individual artists or for-profit arts, music and culture businesses. 

This study demonstrates that nonprofit arts and culture is a significant industry in Tennessee—a driver of employment and vibrant communities that helps make Tennessee an attractive place to visit, work and live. 

Nationwide, the AEP6 reveals that the nonprofit arts and culture industry produces $151.7 billion in economic activity in 2022. In addition, it supported 2.6 million full-time equivalent jobs and generates $101 billion in household income, and generated $29.1 billion in tax revenue to local, state, and federal governments.