New York City

New York City Prior to 2008

New York's traditional standing as a global city rests on three major characteristics of such cites, which theorists of globalization, such as Manuel Castells and Saskia Sassen, have stressed. First, New York is a control and command center in the international political economy. As such, it is home to numerous corporate headquarters including those in the Fortune 500. (New York City is routinely home to more corporate headquarters than any other U.S. city, but New York State's ranking varies somewhat. In 2003, New York State contained 52 of the Fortune 500 corporate headquarters, one less than top-ranked California. In 2005, it climbed to first place with 54 but in 2008 fell to second place with 55, surpassed by Texas's 58.) New York City also contains the key financial market, the New York Stock Exchange; two of the three largest business districts in the United States (midtown Manhattan, which is the largest, and Wall Street, which is the third largest behind Chicago); and numerous major banks. In short, critical economic decisions are made in New York. Further, although New York City is neither a state nor a national capital, it houses the United Nations and a large number of organizations associated with the United Nations.

A second aspect of New York's global city status is its role as a center of global culture. It occupies a key role in the world's news, television, art, [Page 1240]independent movies, music, theater, and general entertainment. For example, the theater district of Broadway contains 39 large professional theaters with 500 seats or more. In 2007 and despite a 19-day strike that closed more than two dozen shows, Broadway sold a record $938 million in tickets. The Chelsea section of Manhattan is the dominant center for contemporary art worldwide, with more than 237 commercial galleries in 2007, making it by far the most numerous gallery district anywhere.

The third aspect of New York's global city status is its distinct industrial base. Rapid growth in producer services, media, tourism, retail, and other service industries has replaced the traditional manufacturing sector. For example, New York has a disproportionately large share of employment in almost every producer services industry, including banks, security and commodity brokers, real estate, holding and other investment offices, and legal services. The city has become increasingly dependent on these “Wall Street” jobs, which in 2006, although only 5.8% of New York City's private sector employment, accounted for 23% of the income earned in the city, with bonuses reaching $30 billion and average salaries at $340,000. New York's tourism industry has grown explosively, from 18.4 million visitors in 2000 (of which 6.8 million were international) to 46 million in 2007 (of which 8.8 million were international).

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