Executive summary

The Provincial and Territorial Culture Satellite Account ( PTCSA) was developed by Statistics Canada with the support of the Department of Canadian Heritage and its many partners.^{Note 1} The PTCSA provides measures of the economic importance of culture (inclusive of the arts and heritage) and sport by province and territory in terms of output, gross domestic product and employment, for reference year 2010.

In the PTCSA, culture is defined as a creative, artistic activity, the goods produced by it, and the preservation of heritage. Sport is defined as an individual or group activity often pursued for fitness during leisure time which may be undertaken for fun or competition. Sport includes recreational sports and physical activities, as well as professional, semi-professional or amateur sport clubs and independent athletes that are primarily engaged in presenting sporting events before an audience. Culture and sport estimates are mutually exclusive of one another.

The PTCSA is an extension of the Canadian Culture Satellite Account published in September 2014. The PTCSA is a product of both the 2011 Canadian Framework for Culture Statistics (CFCS) and the Canadian System of National Accounts (CSNA). The CFCS provides the guiding principles to define and identify cultural economic activity, whereas the CSNA provides the mechanism and data to derive the estimates.

Culture and sport are not explicitly identified as industries within the CSNA but are rather activities found in several industries within its framework. As such, it is necessary to identify and isolate all the culture or sport activities from within the economy and present them in a coherent form—a satellite account.

While other studies measure the importance of culture, the satellite account approach is both comprehensive and compatible with other macroeconomic indicators and accounts. The PTCSA allows comparisons with other industries or other activities, and uses a set of concepts and definitions common to the CSNA, the primary building block of the PTCSA.

The PTCSA 2010 estimates were derived primarily from the 2010 Input-Output tables, within the CSNA, with specific methodologies used to isolate the culture and sport industries for each province and territory. Once all culture and sport industries and activities are identified, output, GDP and jobs can be estimated.

The scope of the study is similar to that of the Canadian Culture Satellite Account^{Note 2}, only extended to include the provinces and territories. The PTCSA covers all the culture goods and services produced in the economy by establishments in both culture and non-culture industries. It also highlights cultures industries and the goods and services (both culture and non-culture) that they produce—measuring both market and non-market output. However, the PTCSA does not include volunteering activities.

The PTCSA measures the economic importance of culture and sport to the provincial and territorial economy from two unique perspectives:

• the product perspective, which measures output, GDP and jobs resulting from the production of culture or sports products regardless of whether they were made by establishments in culture or non-culture industries; and
• the industry perspective, which measures the output, GDP and jobs resulting from production from establishments classified as belonging to the culture and sport industries. These estimates include the production of non-culture and non-sport outputs.

The PTCSA excludes the Infrastructure domains: Mediating Products and Physical Infrastructure. These domains have been excluded as they are not directly related to the creation of culture products but rather, support the production and consumption of culture output.

Since the PTCSA is an accounting framework and not an economic impact model, it only includes the measurement of direct^{Note 3} culture or sport GDP, jobs and output; it does not measure indirect^{Note 4} or induced^{Note 5} impacts.

Finally, the work of compiling the provincial and territorial dimension of the CSA has highlighted further areas for improvement such as the Craft, Library, Archive and Film and Video sub-domains.

A feasibility study to develop annual PTCSA indicators to measure the importance of culture and sport in a regular and timelier fashion is currently underway. These estimates will be benchmarked to and projected from the 2010 PTCSA. The official release of the annual PTCSA indicators for 2010 to 2014 is expected in 2016.

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