Evening star., 1939-02-26
Notes Concentration
in the Movie Industry
By Frederic J. Hdskiu.

reau OF the Census. While the Presi-
dents special committee named to in
vestigate monopolies has not so much as
glanced at the motion picture industry
SO far, there always is a possibility that
some attention will be attracted by these
fresh figures. The movie magnates.
however, have their answer ready. 1t is
that they have, in the interests of better
organization, frightened up the whole in
dustry and made it more efficient
Because of the enormous work of COM
pilatiOn, the Census Bureau necessarily
is year behind with its figures. Last
years are not available, but those for
1887 are, and they show that while the
industry was bigger than ever it was
far more concentrated While official
figures, such as these, are not at hand
it is understood from the news of the
trade that there has been even further
concentration since 1887.
In 1888 there were 80 establishments
engaged in the production of motion
pictures. Under the stimulus of the
New Deal measures which were set OF
foot, the motion picture industry began
large-Scale expansion. The industry is
commanded to large extent by highly
volatile individuals who are accustomed
to splendid visions and quick action
There is no doubt that they expected as
sensational rise in the economic well
fare of the United States as the descent
had been after 1929. They were all ready
for boom. New companies were pro-
jected. The result was that 1885 saw l29
motion picture producing establishments
in existence.
Then came the realization that the
economic affairs of a great Nation do not
move with the celerity Of a motion pic
ture reel. Slow motion is more nearly
descriptive of the pace of underlying
changes. Even though a lot of snaL
judgment is used in the picture business
there also is considerable shreWdnesS
and it was soon realized that the INDUS
try had overreached In consequence
1887 found only 93 producing establish
ments in business. This, it will be noted
was lesser number than had been
functioning four years earlier.
This shrinkage did not mean that
there had been an actual loss of strength
in the industry: it meant only that there
had been basic alteration in organlza-
ton. Actually the industry was bigger
than ever. This is attested by the fact
that growth from 1888 had not been
interrupted In 1888 there were 19O37
persons engaged in the movie production
business. In 1885 this had grown to
27592. and in 1897 to 34624 These fig
ures show the measure of both growth
and concentration. In 1885 there were
l29 establishments employing 27,592 per-
sons and in 1887 there were only 80
establishments. but they employed 1924.
North Americans sometimes facetiously
say that a characteristic of a Latin
American army is that it has about as
many officers as it has prlvates The
same might be said of the motion picture
industry if one makes comparison be-
tween salaried persons and wage earners.
The salaried ones, presumably. are the
/ executives and the actors and actresses
while the wage earners are the privates
in the industrial ranks.
Both groups gained in numbers sub
stantiallv over the period In 1888 ther5
were 10,777 wage earners. and in 1887
these had grown to 1879. In 1888 there
were $3.50 in the salaried group waill
in 1887 there were 1886.
The big money went to the salarie7
employees In 1883 the total of salaries
paid in the industry amounted to $50
946.400. In 1887 this had grown to sl04.-
324300. 1t had just about doubled. This
would mean an average salary for the
industry of more than $4,000 a year
which is we'll above the average for any
other industry. The average is lifted
by few of the fabulous salaries paid to
stars and idols, the $4,000 and $4,000
week stipends. While it is said that
some of these are sem-fictitious 1t is
beyond question that huge pay checks
are issued to the favored few. But
there are others in the industry, people
taking small parts, press agents, various
sorts of clerks and assistants, whose pay
is good but not prodigious.
In 1883 the wage workers received
total of Sl8395 .489 and in 1887 this fig
ure had reached s35,264 $50. This was
large gain, but not so large in either
money or percentage as the gain scored
by the salaried group. A great many
extras are included among these wage
workers, an army of supernumerarles
made up in great part by disappointed
winners of local beauty contests girls
who went to Hollywood. confident OF
stardom just around the wings. So many
remained, held by the lure, but unable
to do better than find work as extras,
members of milling crowds and the like.
Always there remained the hope that
opportunity would come. that the door
to big things would swing magically
open. 1t seldom does.
Hollywood accounts for most of the in
dustry in terms of money, but not all.
The Census Bureau shows that in 1888
there were 80 motion picture establish
ments in the Los Angeles industrial area.
Is in 1885, and IS in 1887. In 1888 there
were 16,417 employees, in 1885 there were
103O8, and in 1887 there were l4,0O7.
The Chicago studios seem to have run
a steadier course than those of Hollywood
during this period In 1888 the Census
Bureau showed there were eight estab-
lishments there employing 1862. In 1885
there were still eight, but their stats had
Il