Professional Documents
Culture Documents
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Table of Contents
b. Globalization .................................................................. 22
V. Bibliography ........................................ 70
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Acknowledgements
To my parents, Guillermo and Teresa, for teaching me the value of work and
study
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Abstract
There is not much doubt that there seem to be a increasing trend to consider
countries. In this dissertation, the author will attempt to critically review and
discuss the key principles behind these ideas and some practical applications
from a Chilean perspective that, at the same time, can be observed in the Latin
American context. The aim is to analyse whether these approaches are suitable
or not for a developing country like Chile and if they have something to offer in
[5]
I. Introduction
creative economy and cultural and creative industries as a driving tool for
agendas in different places are now being thought of from a cultural perspective.
governments from all over the world through different strategies and specialized
"creative".
Nevertheless, "virtually all 'culture and the new' economy' debate has
been conducted within, and for OECD countries - arguably from within a mainly
considered suitable to be applied or not from the point of view of these countries.
This issue might be observed under the terms of colonialism and post-
colonialism, due the tempting practice used by policy makers to adopt alien
[6]
policies in fostering cultural and creative industries to use them locally (Pratt,
c2009).
In this paper, the author wants to critically review principles and policies
designed to foster the so called cultural and creative industries as a leading edge
in the economic and social growth but from the perspective of a developing
country, like Chile. The author aims to review and discuss the concepts behind
to offer a new perspective and a new approach on these topics. As a Chilean, the
author is interested in developing a view from the South of these ideas in order to
contribute to the discussion which is taking place in different places now. Chile is
among them. At the same time, the author will attempt to carry out a critical
and creative sector, the author aims to contrast some global at a global level with
nature of being both a source of wealth and job creations and a tool for social
ethnical and so on. However, as previously quoted, the discussion on this subject
[7]
has been almost exclusively lead and developed in the global North, so the idea
of this work is to question to what extent these principles have something to offer
to the country.
country is, as well, one of those small countries from the global South interested
on commodities, but also as a way to develop the arts and cultural sector in
So, in order to answer this question, the author will review and analyse
discussion on specific topics from both a general point of view and a Chilean
perspective.
If it is considered that these policies and practices come mainly from just a
few places in the world, it is thus arguable to assume that those ideas are based
on their cultural background and practices which from several points of view are
which in recent years has developed a growing interest in this sector encouraged
1 Since January 2010, Chile is member of the OECD, becoming the second Latin American
country to be invited to be part of this economic forum.
[8]
by research and policies recommended by UNCTAD and UNESCO during the
levels of social inclusion. Moreover, this region has developed a rich and complex
cultural tradition hardly known outside its borders; however at the same time
Latin America has a reputed name in the television industry as one of the most
and Venezuela.
the other hand, high standards of political and economic stability. This stability
development strategies and policies. As said before, the country requires new
recognizing the need to foster culture in terms of national identity and aesthetic
values, but also as an industry which generates wealth and employment (CNCA,
2 Copper industry represents approximately the 8% of Chilean GDP and 36% of world
production (de Gregorio, 2007).
3 In English, “Chile wants more culture”
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2005). This document was not the first effort in this sense, but essentially was
one of the first official recognitions of the importance of creative industries in the
development of the country. Since then, it has tried to set up policies tending to
foster cultural and creative industries in the local economy which have been
launched from the Ministry of Economy and the National Council for the Arts and
the section devoted to Chile, the author will review why and how the Chilean
found a clarifying approach which states that an opportunity for Chilean industry
international current to copy policies and practices with no regard for local
[10]
and WIPO to Universities and NGOs, there are different approaches to the
regulations and laws can be helpful to foster creative economy or, as seen from
and even traditions. The author consider that the understanding of this topic is a
these ideas, the author wants to examine critically these concepts in order to
level.
contribute to the discussion on this subject in local terms and in analysing the
sustainability of these industries in long-term. At the same time, the author thinks
the country in terms of offering a dialectical view on this phenomenon which will
allow developing both new and useful approaches. So, the author will research
key concepts reviewing what authors have written about them, trying to develop a
[11]
coherent argument and making their ideas to dialogue. To obtain the most
comprehensive information possible, the author set as starting point the Creative
Economy Report published and edited by UNCTAD in 2008, which gave the
clues to develop the further steps on this research. In this sense many readings,
papers and books were not explicitly included in this work, but they were
essential to succeed in the research process. As a result, the author presents the
[12]
II. Literature review
a. Basic concepts
subjects focusing on the concepts which has given life to this widespread trend of
On a first approach, the author will show some ideas and concepts stated
by several authors attempting to focus the subject of this work. For instance, it
can be read that Creative Economy “consists of the transaction in [...] creative
products” which are “economic good or service that results of creativity and has
as the cycle of creation, production and distribution of goods and services that
use creativity and intellectual capital as primary inputs” (UNCTAD, 2008; 4).
cities and regions that moved out of heavy industry […], or had never developed
industries” (Hartley, 2005; 19) or that they were the solution to “many older cities
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[that] suffered from deindustrialization with a loss of jobs in manufacturing,
abundant terminology often lacks of rigour and clarity which make it usually
confusing and inconsistent (Galloway and Dunlop, 2007; Pratt, 2005; Kong,
2000; UNCTAD, 2008; Bharucha, 2008; Raj, 2008). So depending on what kind
on books and papers are chosen to read, it is possible to find the keywords,
way it can be observed some derived concepts such as creative class (Florida,
2004) or creative city (Landry, 2008) to explain specific issues anchored in the
core of this creative tendency. The former aimed to identify the core group of
people which fuel places with loads of creativity; and the latter to recognize urban
This game of adjectives and nouns does not help to give light to a subject,
which is increasingly in public agendas and development strategies all over the
world. However, in basic terms -and not pretending to be exhaustive at all-, the
general idea of creative economy can be explained by saying that is the concept
in which creativity is the key factor to produce development and economic growth
(UNCTAD, 2008). On the other hand, cultural economy may be considered pretty
much the same idea, with the difference of being focused on outcomes which
provides meaning and aesthetic value (Scott, 2008; Pratt, 2005). In the case of
the terms creative industries and cultural industries, it can be said that they are
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the sectors aimed to create, produce and distribute services and goods either
based on creativity itself or in culture (UNCTAD, 2008). The limits between them
are fuzzy and they are quickly and easily crossed when conceptual juxtaposition
these concepts are linked to the same phenomenon, which is the knowledge
society in which, it is argued, creativity and knowledge are basic factors for
development (Scott, 2008); more than machinery and labour and that is
Galloway and Dunlop (2007, 19) “most of the definitions are based around a
In addition, UNCTAD on its 2008 report argues that “the interface among
and circulate intellectual capital, has the potential to generate income, jobs and
export earnings while, at the same time, promoting social inclusion, cultural
diversity and human development” (UNCTAD, 2008; 5). This idea is supported by
John Hartley who claimed in 2005 that “Creative industries is not confined to
economic activity as such, but extends also to new models of social development
that are at the cutting edge of international practice” (Hartley, 2005; 3).
success stories such as the Silicon Valley and the creative industries in London
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are always accompanied by the substantial involvement of universities and
government agencies” (Hartley, 2005; 3) and he insists on this topic stating that
On the other hand, Pratt (2005) has observed that both commercial and
the reasons behind this tension was contributed by Hartley (2005, 16) upon
A way to view this conflict is given by Raj (2008) who argues that
consequence of this tension, Pratt (2005) states that creative industries as for-
contrasting with the tradition. Culture sector has traditionally been funded through
the strategy of market failure, because it was considered normal that as a public
good, culture should be subsidized by the state (Pratt, 2007), especially when the
government promoted culture in its political and social agenda. So these new
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culture, and according to Pratt (2005) as they aim to make profit, they are not
only as a business, but as a service in which profit is not the only value to be
pursued. He also argues that although the state does not generate cultural
production of services and goods via policies and regulations and, at the same
contribution made by the market, however they must be conscious that it can be
that policy makers must recognize anticipatorily those areas in which the market
On the other hand, some critics have argued that behind the attractive and
areas. (Slachevski, 2005; Flew and Cunningham, 2010; Miller, 2009; Pratt, 2007),
but at the same time it ignores key issues such as precarious labour
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(Oudenampsen, 2007, Pool, 2000), technological trash and imperialism in culture
(Miller, 2009).
Nevertheless, both the First World and the Third World have focused their
ideology and finances; and the latter expressing its intention to obtain its share
However, during many years, the creative industries sector showed level
of underdevelopment across all the Latin American region and their participation
of their GDP was less than 2 per cent in some cases (Brazil, Argentina, Chile,
Peru Uruguay y Venezuela) and even less than 1 per cent in countries like
performance during the last years has improved - at a slow pace-, showing an
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increase in exports, though according to UNCTAD (2008) the region is still a “net
biases" (UNCTAD, 2008; 5). So in spite of the rich cultural diversity and talent
thriving in Latin America and other developing regions, they have not yet
In addition, Fonseca and Davis (2007) states that all these countries are
still regarded as peripheral by the other nations, and still there is no much mutual
recognition and knowledge from each other. Nevertheless, there are also two
industries depending on which region is analyzed. The first one is the so called
principle states that along with the increase of household incomes, the proportion
devoted to be spent in food and basic needs decrease (De Mooij, 2004).
However, the important thing is that the proportion of the remaining income tends
America has showed low per capita income levels along with high levels of
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with minimum wages, and even under the official line of poverty. People hardly
out of focus. This figures have improved during late 1990s and early 2000s,
The second factor is that showed by UNESCO (2000), which claims that
levels as a starting point of their development. The international body has shown
that, for instance, under a GDP per capita of $1200 and a Human Development
Index of 6.00 there is no film production, so in the way a country increases both
its income and its education, it will tend to generate a cultural economy and
industries in Latin America and the Caribbean is due to some other reasons, for
express that "the oligopolistic nature of marketing and distribution inhibits the
global trading system (UNCTAD, 2008; 7). Cunningham (2005) exemplifies this
situation arguing that in the music industry in Latin America all the major
companies "account for the lion’s share of each local market" or in terms
[20]
It is also important to say that the conceptualization of creative industries
2005).
To conclude this part, it have to be said that after reviewing some ideas on
solve all economic and social issues, although it can be considered as a part of
the solution.
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b. Globalization
leading force behind the knowledge economy that, at the same time, fuelled
constant and sometimes permanent changes which were quickly diffused. This
capital, information, objects and people at great speed across large distances,
social life cannot be seen firmly located in particular places with clear
boundaries”. For her part, Dos Santos (2008) claims that globalization altered
basic factor to understand our lifestyle, our attitude and even our daily choices.
politics, technology and economics have changed the face of the world, giving a
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globalization has not only positive outcomes, but some other which are negative
to certain kind of countries and regions. Fonseca and Davis (2007) comment that
culture and values are able to overcome physical frontiers which allow people to
argue that there are three phenomena which are contradictory with this ideal
“First, the legal framework of intellectual property rights which limits access top
information and cultural expressions to those who can afford it [...]. Second trade
and access are increasingly tied to the digital - a language still unknown to most
Latin American and Caribbean people who are now threatened by the digital
divide, following their exclusion from the knowledge economy. Third, concentration
in distribution prevents free circulation of cultural products, even when the barrier
of IPR is overcome and the digital divide is bridged.” (Fonseca and Davis, 2007,
188)
who add to their argument that this negative trend is not only applicable to this
region, but to others in the world. From this perspective, Garcia Canclini (2002)
considers that the asymmetrical globalization in the cultural sphere has provoked
not only an increase in global inequalities in wealth distribution, but also has
and in participation at a local and international level. The same author in 2005
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stated that “culture and development can be examined from the point of view of
inequality and poverty. The gap between rich and poor continues to
Garcia Canclini claims that the illusion created by media and cutting-edge
technology that we all live in a knowledge society can be contrasted saying, for
instance, that “Latin America which has 8% of the world population, and
2005; 4)
and cultural services, which are only available on the web. In this sense,
penetration of broadband5 and the rate of investment in the sector as the key
5 Broadband penetration: United Kingdom (28.8%), Sweden (37.9%), United States (25.8%)
Source (ITU 2008) – Chile (10.4%), Argentina (10.0%), Brazil, (6.0%) and Peru (3.0%)
(Source: Cisco, 2009)
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disappointing in the Latin American context, so the international body concludes
and Davies, who talk about “transnational cultural conglomerates [that] tend to
operate and transform local and regional markets into one global space,
boundary or constraint” (Fonseca and Davis, 2007; 185). In this context, both
authors add that Latin America and the Caribbean are considered part of the
periphery not only by the global North, but for the rest of the world and eventually
among the very same countries which lack of mutual knowledge. In addition, the
region suffers the hegemonic influence imposed by the United States. (Fonseca
and mobility but forget issues on erosion of place. As argued by Garcia Canclini
(United States, Europe and Japan) and the capacity to appropriate and distribute
(2007) support this concept when they claim that there is a direct relationship
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between distributional problems and concentration; however they are aware that
not all sectors are affected in the same way. In many countries, they argue,
such as books, music and film, and even in whole countries holding the lion’s
share, but also controlling what kind of products or authors have the chance to
Fonseca and Davis (2007) add to this issue the contradictory relationship
each other or, in simple terms, big companies swallow small firms. He
complements his argument claiming that in this process the global South and
specifically Latin America has nothing to win because the region is not the one
expresses that this is a system in which some are globalizing and the rest are
globalized. These ideas are coherent with those by Stuart Hall (1992), who wrote
about the formation of the idea of the west and the rest, concept built by
and norms, which make them fail in identifying and respecting difference.
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In terms of creative industries, Fonseca and Davis argues that “the lack of
global trends” (Fonseca and Davis, 2007, 189). However, Dos Santos (2008)
include a new perspective on these criticism when he argues that global systemic
global tendencies, for instance, free trade agreements. In the Latin American
context, and in general, it can be argued that those agreements are basically
Davis, 2007). This lack of priority given to cultural aspect in these countries when
industries. In the very case of film industry, he argues that the situation in global
term is the most unequal, because 85% films screened all over the world come
from Hollywood, but U.S. market barely receive a few foreign film a year. They
make their industry to prevail in global terms, controlling the whole process,
which involves production and distribution which restricts the space for Latin
American films, though this situation has affected not only this region. Traditional
film producers like France, Russia and Germany have seen reduced their market
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Moreover, Scott (2008, 311) expresses that, at the same time,
globalization “has vastly extended the market reach and power of cultural
problems, both economic and cultural”, for instance saturation of markets with
foreign imports with the potential risk to local traditions and producers. Throsby
bodies, which have stated their worries on this issue saying that besides
risk to cultural diversity and pluralism (UNESCO, 1998b). Considering all these
(2005, 9) when he claims that “the opening of cultural trade fosters or hinders
From another point of view, Garcia Canclini (2002) argues that although
[28]
In any case, as claimed by Garcia Canclini, it is required that the
make feasible spaces, both cultural and economic to local and independent
contrasting view to this subject than that unilateral voice provided by U.S.
government lobby which has ended in paralyzed legal efforts aimed to promote
and foster local cultural production (Garcia Canclini, 2002, 2005). From this
perspective, he claims that currently “We must confront the erroneous notion that
the free market favours the freedom of creators and extends access to
majorities” (Garcia Canclini, 2002; 37), because from his view, corporations have
cannot be seen just in economic terms, according to Garcia Canclini, there are
“other social interactions that affect quality of life and that cannot be reduced to
the merely merchant, like human rights, scientific and aesthetic innovation, and
the preservation of natural and social environments” (Garcia Canclini, 2002; 37)
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c. Culture and development
Nonetheless, during the 1960s and the 1970s, studies on development based on
modernization theory paid special attention to the role played by culture in this
process (Schech and Haggis, 2002). Furthermore, Kong (2000) claims that the
link between economy and culture is not absolutely new or a novelty in social
argued that artists as representatives of the cultural world have always shared a
per capita product. Nevertheless, during the last years this conceptualization has
2008). Poverty, she argues, is still a big problem to be fought in transitional and
developing economies.
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At this point, when the author talk about culture, as other researchers, he
means “a set of values, beliefs, traditions, customs, etc. which serve to identify
and bind a group together” (Throsby, 2001; 63). This conceptualization implies a
broad field in the sense of expressing a way of living, in contrast with those more
specific related to cultural expressions and practices. Throsby (2001) adds the
idea that individuals in a community will be affected by culture in the way they
think and behave, and, at the same time, they will have a decisive effect in the
However, during the last 20 years there have been a shift in the
authors and scholars that have been aware on the problems showed by a
univocal and monolithic notion of progress where all that matter are only
the former reflects a broad and inclusive array of societal needs as well as
economic variables and factors for development does not provide a programme
based on human dignity and well-being. This report argues that the concept of
integral human being, not only as an economic subject. In that sense they have
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argued the need to bring culture to the centre stage of this re-defined conception
of development.
Furthermore, Dos Santos (2008) claims that another aspect closely related
in our life, in education, work and even but also in leisure and entertainment. She
adds that another key feature is that cultural values, along with the historical and
tastes and styles established and promoted by media. Moreover, in 1998, during
1998b) and the same time that identifies both creativity as a key factor for human
development and diversity as a treasure for human kind, which finally are
clearly that one of the objectives is to make “cultural policy […] one of the main
1998b)
not only by industrialized societies, but for developing countries, specially, in the
sense of thinking about their progress from the point of view of their ways of
living. Throsby adds to this discussion that “the implication is that strategies to
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alleviate poverty in the third world and to promote economic advancement will
need to have regard for the processes of cultural change which may be critical in
their self-esteem. In more than a way, this process can be helpful in making
those programmes on poverty reduction more effective. Pratt (2008) argues that
many practices in cultural and creative industries, at least in Europe, have been
projects and initiatives, more than policies delivered from the top level. In this
sense, Dos Santos (2008) claims that the challenge for developing countries is to
find a feasible way to development which takes into consideration its social,
cultural and economical reality, but at the same time its limitations in terms of
skilled labour, lack of basic infrastructure and incoming foreign investment. She
cultural, economic, social and technologic changes which are modifying the
world. In addition, Dos Santos (2008) suggests opening those models strongly
countries and especially in the poorest ones, creative economy is a great job
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source, which offers opportunities to mitigate poverty. People from different
countries, despite their outstanding cultural diversity and abundance of talent, the
deployed which means that a vast majority of countries is still unable to explore
trend thriving among policymakers and urban planners, in Latin America, culture
Due to that reason, Garcia Canclini (2005, 3) claims that in these countries,
people should stop thinking that way and starting seeing them as “royalty
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d. Intellectual Property
definitions which aim to the exploitation of rights derived of it. With the
contribution of the World Trade Organization (WTO) and the World Intellectual
has been established along the years a sort of policy body attempting to globally
regulate the issue on Intellectual Property (IP), which has actually been
key factor in the “health” of creative economy, so there have been developed a
consistent campaign in order to demonstrate its value as well as the risks for
creators and even economy in general when these rights are not observed. For
lack of certainty as to how to extract revenue from the sale of IP inhibits co-
protecting intellectual property. However, in the next paragraphs the author will
review that there is no such a thing and it can be considered as part of the
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agenda of the global North in order to impose conceptions globally with no regard
free trade has been linked as favouring freedom of artists to create as well as to
allowing creators and artists’ creativity to thrive. Some legislative bodies have
recognized this spirit in the practical expression of laws, bills, and even
stated by saying “to promote the progress of science and useful arts, by securing
for limited times to authors and inventors the exclusive right to their respective
very same statement, lawmakers establish that the rights derived from these
Anglophone countries give the company the authorial right to film and television
programmes and in Latin America, France and Europe in general where the
legislation those rights are granted to producers and, even to investors. The
7 The author has included a portion of the U.S. Constitution because most of the international
lobby on copyright and intellectual property has been exerted by corporations from that
country, in order to establish their own agendas to an international level – as discussed on this
work.
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author could add to this point that this can be seen annually on important film
festivals. For example, in Cannes, the award for best film (La Palme d’Or) is
received by the director8; whereas in the Oscars the award for best picture is
This example can give the reader an idea on to what extent, intellectual property
rights are not yet a defined subject as apparently seems to be and its is arguable
that there is still room for discussion on the outreach of these policies in different
cultural contexts.
the core of creative industries; however it cannot be ignored that these ideas
have been originated in the global North based on its own cultural practices,
traditions and customs and all these efforts in order to globalize the conception
collide with other cultures and eventually overcome them. That is why Fonseca
and Davis (2007; 189) have expressed that “the current approach to IPR is
intellectual property in private terms has not been present in the tradition of most
of cultures, although there have always existed artists and creators. He also
8 In 2010, the best movie was a film directed by Apichatpong Weerasethakul, who was invited by
the jury to receive the award.
9 The award to best picture during the 2010 ceremony went to the movie” The hurt locker” and the
prize was given to a group of producers.
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cultural and artistic works are conceived to be exploited in the market,
Davis argued in their text (2007; 189) that “the first problem faced [...] is that the
kiondo 11 and kikoy12 in Kenya. In brief, both are hand-made crafts by tribal
communities from this African country. In the case of kiondo, the Kenyan
government failed to patent this traditional technique and later was patented by a
Japanese corporation. On the other hand, kikoy is the name of traditional textiles
showed that multinational and private companies fit better than traditional
creation. Garcia Canclini (2005) exemplifies this by arguing that the famous
[38]
permission from a major company, in order to play his own songs if he does not
The scholar also critiques the copyright model when he expresses that “it
does us little to exalt the creativity of people and artists or the wealth of cultural
mega companies that manage copyrights” (Garcia Canclini, 2005; 9). Smiers
(2007) contributes to this point arguing that the system as currently conceived
mainly benefits corporations and just a few artists rather than average creators,
With this discussion, the author does not intend to question the rights of
social value of culture, but only profit and particular interest, and the
transformation of this policy until the current restrictive and exclusive conception.
[39]
Since 1710, when the first legal framework on copyright was established in
England under the name of Statute of Anne 13 in relation with the book publishing
number of laws on this subject and all of them clearly state that the main purpose
is to protect the rights of creators and artists to their work and their creativity.
intellectuals in the American Revolution during the XVIII century in the United
States stated once: “Ideas should freely spread from one to another over the
globe, for the moral and mutual instruction of man, and improvement of his
years with the time Jefferson expressed these ideas, but the conceptual distance
in even bigger than that showed by that time. In this sense, the current legal
clearly that "copyright is a form of protection provided by the laws of the United
some legal bodies established along the years in the U.S. and that came into
13 Named after the Queen Anne, the Copyright Act 1709, whose full name was “An Act for the
Encouragement of Learning, by vesting the Copies of Printed Books in the Authors or
purchasers of such Copies, during the Times therein mentioned” granted books publishers
legal protection for 14 years, eventually renewable if the author was still alive by the end of the
first term.
14 As previously pointed out, it is important to the argument to include specifically U.S. legislation
rather than others, because U.S. policymakers as well as corporations has been among the
main promoters of international copyright and intellectual property legislation.
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effect so far, there is no such clarity to argue that the principle is aimed to protect
authorship.
Office, 2009) states that works suitable to be protected by copyright are no longer
asked to receive a register from the corresponding office, because they are
Secondly, when the – at that moment- U.S. President Bill Clinton agreed
the Uruguay Round Agreement Act (United States Copyright Office, 2007) all the
expired copyrights for foreign works were automatically restored in the United
States. That act implied a direct intervention in the concept of Public Domain15,
which changed a global concept, which tended to benefit the whole humanity in
intellectual property and its close links with corporate interest. The Sony Bono
Copyright Term Extension Act (United States Congress, 1998) that in 1998 was
enacted by the U.S. Congress and in operational terms extended the copyright
term 20 more years in addition to the already extended 75-year-term, so with this
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change copyright term lasts 95 years 16. Moreover, this amendment to the law
took place at the same time that Mickey Mouse was in risk to “fall” in public
reported that U.S. Congress had this issue in mind when they approved this
Considering that Congress was worried about the future of one cultural
good from one company to the point that changed the whole law and the
principles lying behind it, it is valid to question what happened with cultural goods
Orphan Works, which mean that at the same time that congress protected
Disney’s rights, made huge amounts of cultural good unavailable to public. This
is because these works should be put on public domain in 1998 because their
rights holders if existent failed to renew them 17; however they were kept in the
further creations.
All these legal changes that took place in the last years have shown that
world” (Pinter, 2008) where culture has been submitted to its commoditization
and digital technologies have detached cultural products (content) from traditional
16Lawrence Lessig (2004) has argued that according to the further revision of this act made by
the U.S. Supreme Court (in the Eldred vs. Ashcroft case) the term established on it may
become in a potential perpetual term, because it set that the U.S. Congress has the faculty to
review and alter the term, even contradicting the spirit expressed on the U.S. Constitution.
17 This is normally due to the lack of heirs if original author is already dead at the moment of
renewal or that it is no possible to identify or locate eventual right holders on these works.
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media (container). In words of UNCTAD (2008), this situation can be understood
because in the past those rights were directly linked and locked into a physical
object, so from that point of view, the rights derived from these cultural objects
a means to develop economies all over the world (UNESCO 2008, UNCTAD,
2008); however none of these efforts have noticed or recognized that there is no
Pinter (2008) argues that intellectual property legislation, at both international and
domestic level, have been strongly biased favouring developed economies, but
more specifically, media and cultural industries corporations, during the last 15
years. Nevertheless, at the same time, some of these bodies have shown their
have been set in a delicate position, recognizing the need to protect this heritage
in order to maintain and support local identities, to foster social inclusion and
Nonetheless, even from the point of view of the developed world there are
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instance, in his dissenting vote in the Eldred vs. Ashcroft court case 18, the US
Supreme Court Justice Stephen Breyer states that “in conjunction with official
figures on copyright renewals, the CRS Report indicates that only about 2% of
generate royalties after that time” (Breyer, 2003). As a direct consequence of it,
98% of all the works suitable to be set on public domain will be kept under
cultural life due to the strictness of the intellectual property regimes which allow
to eventual and improbable right holders to sue users and demand the payment
of millionaires damages, so in that case potential users resign the chance to work
with those goods fearing to eventual legal effects. Having said that it is
interesting to point out what expressed by Sundara Rajan (2008) in terms of “the
industries“.
Litman (2001) explains that currently copyright is more focused on control rather
than on incentives to creativity. In that sense, Slachevski (2005) argues that the
mode of intellectual property applied was built to fit with corporations needs in
18 Eric Eldred, Internet publisher and former computer programmer, tried to challenge the
constitutionality of the Sony Bono Copyright Extension Act by means of legal action before the
U.S. Supreme Court, supported and represented by Lawrence Lessig, a Harvard constitutional
scholar (Lessig, 2004).
[44]
copyright and IPR should be thought from a global South perspective, regarding
the interest of artists and creators as well as those of consumers rather than from
to understand what reasons are behind the lobby and the legislative pressure on
international bodies and alien governments can be seen in the words stated by
“Intellectual property is the oil of the 21st century. Look at the richest men a
hundred years ago: they all made their money extracting natural resources or
moving them around. All today’s richest men have made their money out of
terminate piracy, because it produces huge damages for economy, artists and
issue only from a punitive perspective. He claims that intellectual property cannot
be reduced just to the fight against pirates. It is required a revision on these ideas
Western point of view does not necessarily mean World point of view (Smiers,
[45]
If this issue on intellectual property is regarded from a unique perspective,
that of corporations, it could be possible to question as Fonseca and Davis did: “It
is hard to avoid wondering what kind of piracy is more harmful: that based on
illegal copying or the form that allows corporations to register, trade and exclude
traditional people who produced that very cultural knowledge (Fonseca and
[46]
e. Chile and the Creative Economy
been internationally recognized. "It can foster income generation, job creation
and export earnings while promoting social inclusion, cultural diversity and
human development". (UNCTAD, 2008; 4), but at the same time reality shows
some contrasting views among different approaches and different regions both in
the meaning and the practical development of creative industries. For instance, in
spite of all the diversifying efforts made by these countries, currently "86 of 144
developing countries still depend on commodities for more than half their export
performance, but at a slower pace than other regions and despite this region has
more than doubled its exports of cultural goods, this figures are still quite limited
specific top lists by Mexico, Brazil, Argentina and Colombia, Latin America and
the Caribbean remains as importers of cultural goods and services, but, at the
same time, they have not yet explored their potential on creative industries.
(UNCTAD, 2008)
In this section, the author will review the current situation on creative
industries in Chile, which will be contrasted and compared with those situations in
[47]
Latin America and in the global context, which has been reviewed in previous
parts.
These cultural goods, in a parallel way, tend to be included in the growing sectors
promotion or distribution in such scale that they have become the most global
sector in economy (CNAC, 2005). In this sense, UNCTAD (2008) has recognized
the role of the country as well as of some other in making efforts of developing
If translated, this definition is exactly the same to express that they are “those
industries which have their origin in individual creativity, skill and talent and which
have a potential for wealth and job creation through the generation and
19 As previously explained, UNESCO recognises, for instance, that under a GDP per capita lower
than $1200 and a Human Development Index of 6 it is hard to develop film production.,
[48]
working conceptualization was transferred from the Colombian one20, which was
translated and stated with the support of the British Council 21.
On the other hand, in the Latin American context, Chile also imports goods
for those economies facing hard times due to modernization, so these countries
and national repertoires. Based on this, Cunningham (2005) raises the question
20
Both countries part part of the Convenio Andres Bello, which aims, among other
ends, to develop cultural industries in South America (CAB, 2010).
21
In 1999, Colombia was the first place out of the UK to develop a project on
Creative Industries with the support and guidance of the British Council. (British
Council Colombia, 2003)
[49]
As expressed by UNCTAD (2008), Chile can be considered a special case
in the region, because of its social and economic indicators, but also because of
its educational and strategic development. Based on that, the country has
future development strategies. At the moment this discussion were taking place,
[50]
1997 £41,626 1.60% £666
Country % Year
Argentina 3.2% 2004
Brazil 5.0% 1998
1990/199
Chile 2.7% 8
Mexico 3.65% 1998
Paraguay 3.3% 1992
[51]
Uruguay 4.9% 1997
USA 5.9% 2001
Source: Quartesan et al,
2007
which seems to be moving every country, including Chile, forward. The opening
In another document, Eyzaguirre (2005) argues that the country until the
generated, in Chile, the need to develop a more diversified set of services and
goods, suitable to be exported and traded and one of the areas considered was
In that way, based on the interest expressed on the document Chile quiere
mas cultura (CNCA, 2005) and the analysis on innovation made from economics
ministries (Eyzaguirre, 2005; Eyzaguirre et al, 2007), with the supplement given
[52]
foster the sector, which included to start up the so called Programa de Fomento
al Sector Creativo 22. This initiative is run by CORFO and CNCA and its ends are
Chilean film industry has showed a positive development, which is testified by the
increasing size of audiences viewing Chilean films, and also a rising amount of
national films available in the market (CNAC, 2005; Quartesan et al, 2007). So, in
this very sense, according to the evaluation made by the Consejo Nacional de
growing potential and, at the same time, a low level of state effort to promote
Back to the program, one key factor is the coordination of two public
culture which tends to contribute to quality of life and national identity, but also
promoting cultural production and, second, CORFO, via its Promotion Office,
[53]
One of the key issues of these policies to promote creative industries is
that related to intellectual property; although the framework has not been
completely friendly with the country.24. Chile is not alien to this issue in terms that
its legislation has been made according to TRIPS25 (CNIC, 2007). However,
despite these intentions Chile has been placed on a “Priority List Watch” by the
U.S. government, which considers that the country has ineffectively implemented
protection to intellectual property and, at the same time, considers that existent
2009).
24 Based on patents regulations (IPR), in 2004 an Australian company patented the Chilean
Guava (Myrtus Ugni), a native berry from Southern Chile, and renamed it as Tazziberry to
commercialize it (RIRDC, 2004; 20).
25 The Agreement on Trade-Related Aspects of Intellectual Property sets minimum standards on
national regulations and legislations on IP. It is administered by WIPO.
[54]
Currently, in legal terms, Chilean law on Intellectual Property26 establish
both moral and the economic rights of creators or right holders for a maximum of
70 years after creator’s death, after that all works belong to common cultural
catalyze social issues shows a worrying situation in the country: The lack of
equity in accessing cultural goods and services, excluding radio and TV. In effect,
more than 93% of people from lower classes show a minimum or low level in
cultural consumption, which, in other terms mean, that they just listen to radio or
percent people have a poor cultural consumption just limited to what is offered by
mass media. In contrast, the 83% percent of high-class consumers show high or
incomes increase, they tend to spend a lesser proportion on basic needs and, at
the same time, the expenditure (or investment) in cultural activities tends to
performance during the last 20 years shows a very negative feature: that of
26 Law 17336 on Intellectual Property was enacted in 1970, with further modifications in 1992,
2003 and 2010. The first version of the law granted a protection term of 30 years after
creator’s death and included only individuals as potential right holders. Further modifications
to the law changed both the term of protection (to 50 and then to 70 years) and the potential
right holders (incorporating legal entities to individuals).
27 According to the law, works in the common cultural heritage can be used freely by anyone,
regarding moral rights of right holders and the work on its integrity.
[55]
unequal distribution. And even worse, according to the Chilean academic Dante
Contreras (1999), the country exhibit one of the most unequal economies of the
world28. So many people in Chile live in poverty, with low wages which makes
In Chile, these matters are especially sensible due to the well known
episodes in its recent political history, because after the Pinochet's regime, under
stabilization. Among the changes the country went through during the last years,
argued that those minimum levels in consumption of cultural goods are related to
bidding called FONDART29, which was mainly aimed to creation and cultural
production, but with an evident lack of interest in distribution and audiences. Just
in the last two years, it can be seen a stronger concern on this issues, basically
when the discussion on the creative sector started. In Table 4, the reader can
28 The Gini Coefficient measures inequality in income distribution and shows that this situation is
a constant in Chilean economy. If one considers an index 1 as absolute inequality and 0 as
absolute equality, Chile exhibits 0.55(1990), 0.56(1996) and 0.55 (2003) (UNDP, 2009). These
figures set the country as one of the most unequal countries in the world.
29
In English, Arts and Culture National Funds
[56]
see the amount of resources invested in arts and culture by means of national
public funds.
have a potential economic relevance, but at the same time, the value of them in
stated on their works. So, as argued by several authors, in this case both visions,
the economic and the social are required to dialogue in terms of offering an
[57]
III. Findings and Analysis
Before starting this research, it seemed that the global trend on creativity
evidence has shown that there is no such a thing. Despite best sellers on these
with policies and theories behind the efforts made by governments, international
First, this discussion started about 30 years ago in countries which can be
policies naturally will tend to express their culture and practices with all the
evident differences with the “rest” as clearly stated by Stuart Hall (1992). It can
be argued that with the digital revolution and the consequent globalization, these
many senses-, producing content is more profitable than agriculture and mining.
This explains the 7% global GDP and exports their ideology, culture and values.
[58]
As regarded by some researchers, creative industries sit comfortably in
the neoliberal thought, which after the collapse of industrial and Fordist economy
have used globalization to market a uniform and limited set of values in mass-
those ideas behind creative industries aim to the free circulation of ideas,
about free flow of capital rather than of culture. That is why this process has
powers have maintained and consolidated their leading position. They deliver
next step in the development of capitalism (Scott, 2008), in a process which has
maintaining in that way the control of economy and wealth. In Florida’s terms
[59]
(2004), when speaking of countries it is also possible to see a creative class and
a service class. So, that élite makes the rules and takes profits.
On the other hand, Latin America, in general, and Chile, in particular, have
diversified offer of services and goods, and, in a parallel way, to support social
certain way, they have interest in being part of a game already made up by
others, so the possibilities of success under these terms are pretty limited.
Chile has started its own process, trying to participate in the benefit
creative industries which will tend to foster the development of the cultural and
creative sector in the country as a tool for economic growth and democratic
consolidation. The lack of outstanding figures in the sector has been seen as a
The contribution of the creative sector to the Chilean economy is still low, but the
difficult for some people to accede to cultural services. The negative indexes on
poverty and inequality have made creative industries a sort of elitist sector in the
country, which is a problem not only to the industry, but to the whole society in
[60]
Another point to be analyzed is that related to intellectual property. This
issue has been regarded as a key factor in the development of creative economy,
because wealth making is sustained in the exploitation of the rights derived from
places in the developing world, the idea of private knowledge or individual rights
Since the very first regulations on copyright, the idea behind the protection
of creative works was to protect moral and economic rights of creators and
authors during a limited term in order to promote creativity and progress, and,
after that term, cultural works were released to the public domain where others
the beginning of 21st century when economy reached a stage where creativity
[61]
In this perspective, developing countries like Chile are at a disadvantage
spreading all over the world, pursuing piracy as a serious crime. In contrast, it
has not been seen a similar reaction in international bodies, when corporations
justification of piracy, but a way to point out the evident contradictions existent on
offer, but also in people’s taste. In a way, that risk was foreseen by Adorno and
cultural goods and services, this shows the risk to tend to uniform both offer and
taste.
In countries like Chile, where arts and culture has been traditionally
subsidized by the state, this new stage in which cultural industries are clearly
[62]
According to the conceptualization of market failure, traditional cultural
commercialization such as film, music and publishing are still strongly dependant
America context due to its political and economic stability and to the development
nations, and a still limited offer of cultural goods and services. Nevertheless
growing figures on performance in the last years can be analysed as the result of
In this sense, in Chile and other places, it can be attested the lack of
[63]
mainstream radio stations are actual examples of that trend. As some authors
but also the have the expertise on the area, that allow them to impose
30 In Chile, the main funding mechanism for cultural project is a national system of grants open to
bidding and many projects tend to develop project in several stages, excluding distribution or
assigning low importance, a consequently scarce budget, to distributional activities.
[64]
IV. Conclusions
In this dissertation, the author has tried to develop an argument about the
development matters in Chile. To do so, some key concepts on the subject from a
global, Latin American and Chilean perspective have been reviewed in order to
helpful to foster social and economic development in a country like Chile, the
author can express that, although these ideas have been conceptualized and
stated in the global North, they are still helpful to plan and set up developmental
view, without falling in the tempting practice of emulating and replicating policies
from somewhere else with no regard for cultural differences and domestic issues.
collaborative links with other Latin American entities and scholars, and
[65]
simultaneously to observe carefully and critically both policies and experiences in
other places.
From a Latin American point of view, the need for mutual knowledge with
and, at the same time, it offers a way to develop a contrasting force to the
music industry has shown that local repertoires are attractive to the audience and
previously said, distribution or, better said, the lack of policies and
entrepreneurships on distribution.
long-term the lack of state support to domestic labels arguing that these are free
market rules. It is not sustainable, for instance, that all investment in new artists
be made by small and independent labels, and when the artist reaches a certain
threshold in sales or success is captured by major companies that make all the
profits and impose the rules. This is basically because those small companies
reach their ceiling in distribution matters and they feel they cannot go further with
the efforts on this, so they finally cede before corporations and transfer the work
they feel they cannot afford anymore, without exploring new possibilities to
[66]
On the other hand, innovation is far from being native to corporations,
scene taking over the promises and future profit. Nevertheless, the opportunistic
way, they are terminating with their providers. A purely economics-based thought
could be just to buy the provider or to merge to it, but they are probably simply
buying the estate or the reputation. Imposing a new management or new rule
could mean the loss of identity and mystic, which is in the nature of diversity.
Obviously as developing societies from the global South with limited and
these matters can be seen in comparison to a few years ago, when the good
news of the fusion of creativity, culture and economics was (and still are) a global
mantra. From the South and even from the North, critics have started to show
theoretical construct.
since there is not a unique vision of the world. In terms of the actual policies and
conceptualization, it is clear that Chile and other countries are not in the group of
the winners. In a game, in which rules were made by and for someone else, it is
difficult to win.
[67]
The issue of creative industries as such is pretty new in Chile as well as is
in Latin America and, despite some previous experiences, there is still potential to
global discussion on issues of intellectual property all over the world in terms of
the spirit and the expression, so it can be expected that some of these issues,
like creative economy and cultural industries, have the chance to be discussed in
order to reach a new equilibrium, where all the players have the chance to play.
cultural production, but at the same time has a lack of distribution. Creativity and
innovation should be applied not only to the creation of services and goods, but
also in the moment that they are already available and made to reach the widest
audience possible.
Latin American countries, like Chile, have their rich culture and heritage to
contribute to world development; however in the current stage they have not so
the powerful, but also to those who resist or are committed with the
transformation of their societies. Chile has the interest; has started to work; offers
[68]
institutional advantages in comparison with similar countries, so the country
needs to include its identity in this process. Chile needs to be integrated in the
Chile, as part of the South, has to take part in a play that started long time ago. A
[69]
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