The impact of cultural industries on national economy / Herwina Rosnan and Mohd Nazari Ismail

The main objective of this paper is to examine the impact of cultural industries in general and
film industry in particular on national economy. Globally, cultural industries have
contributed to economic development of many developed and developing countries. For
example, in the United States, film industry (which fall under the category of cultural
industries) contribution is greater than its aerospace industry. In the case of third world
countries, film industry has been neglected in the academic literature despite its huge
potential contribution to the economy. Based on the reviews of earlier studies, it was found
that little attention has been given by scholars to study the impact of cultural industries and
national economic development. Most studies on economic development focused on other
industries deemed significant, especially manufacturing industry. Hence, this paper highlights
the importance of cultural industries and its potential contribution to national economy. It
also highlights some important points that need to be considered by national government in
their effort to benefit from the development of their national film industry.