California has long been the heart of the film industry, but the data show a shift has been under way.
The FRED graph above plots the fraction of workers in the motion picture and sound recording industry who are located in California. There’s a clear trend: While California remains a leader, its share of industry employment has declined. In the 1990s, this share hovered around 45%. The first large decline occurred around the 2001 recession, bringing the share to roughly 40%. An even larger decline occurred after the pandemic, starting in 2022. Now, the share has dropped below 30%.
These data square well with broad trends in the film industry: Even well before the pandemic, states such as Georgia invested heavily in attracting film and TV productions, potentially challenging California’s dominance. The more recent acceleration downward could also reflect the general shift of employment and population away from California.
How to create this graph: In FRED, search for and select “All Employees, Motion Picture and Sound Recording Industries.” From the “Edit Graph” panel, use the “Edit Line 1″ tab to “Customize data” by adding the California-only series with this code” “SMU06000005051200001SA.” Click “Add” and insert b/a in the “Formula” field and click “Apply.”
Suggested by Victoria Gregory.