ON HOW MUCH IS SPENT ON ENTERTAINMENT

I have become impressed by how much we Americans spend on entertainment.  Entertainment in most countries is provided by amateurs, i.e. people who have other employment or survive on tips.  In a wealthy society like the United States, however, some entertainers can attain fortunes.  Think of all the major league professional football players, basketball players, baseball players, soccer players, golfers, and even some professional boxers, maybe even some wrestlers.

Then there are some playwrights, the whole movie industry and TV and some radio personalities, but I'm thinking mainly of actors, granted some TV and radio is educational.  And what about novelists, musicians, and composures, some of whom become wealthy?  Of course, novelists would say much of their writing is educational and not just entertainment  Estimates of how much is spent on entertainment vary widely.

At the lower end, the average American "consumer unit" (120,770,000)  is  estimated to spend $454/yr on entertainment supplies, equipment, and services;  $606 on fees and admissions; $707 on pets, toys, hobbies, hobbies and playground equipment; and $1060 on audiovisual equipment and services for a total on 2008 of $2,827 or 5.6% out of an average income of $63,563 (The median income is less, of course, and closer to $50,000).*  If I have done my math correctly, this is $341 billion.  At the high end, an article by Marketwatch gives even larger figures with the total of $709.2 billion or 8.5% of personal consumption, the fourth largest expenditure after housing, food and health care (Unity Marketing Group).**  And to what degree are travel and vacations entertainment?  Of course, there are business trips (that may include some entertainment) and unintended trips (to such as out-of-town weddings).

The largest individual category of entertainment income is from TV subscriptions.  For those entertainers making fortunes, much of their income comes from endorsements, i.e. advertising ($170 billion total in 2010).  Indeed advertising and fees constitute the bulk of "free" TV ($75 billion for TV subscriptions for 2010 in a 2011 report by USA Today) and radio; however even with "free" TV most people actually pay a monthly fee for digital content (cable, satellite, and/or computer) rather than over the air.***  In contrast to TV, filmed entertainment is given as $35.2 billion in 2010 by the USA Today report.  And even advertisements are more and more trying to entertain along with their pitch to get consumers to watch the whole advertisement; however, most of these advertisements grow old after multiple exposures.  Some advertisements show short stories that have little or nothing to do with the product.


*  (http://visualeconomics.creditloan.com/average-american-spends-on-entertainment/)
** http://www.marketwatch.com/story/americans-value-entertainment-studies-show
*** http://usatoday30.usatoday.com/tech/news/2011-06-14-entertainment-spending-rises_n.htm