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Page 8 went into effect, International CommunicationsResearch (ICR) released an impact study3 claiming that: � One-third of New York City bars, hotels and nightclubs have reduced staffing by an average of 16 percent since the ban took effect, and three-fourths of �an cited the ban as the cause. . Three-fourths of all affected bars and restaurants have experienced a decline in patronage averaging 30 percent, and almost 80 percent of businesses claim to have been negatively affected by the bans. Bars and nightclubs that do not offer food reported a reduction in alcohol sales approaching 20 percent. But the City and Mayor remain upbeat about the consequences o f the ban. One year after the ban went into place, four City departrnents released a j oint report¢ asserting that: . Business tax receipts in bars and restaurants had grown almost 9 percent. • An additional 10,600 j obs had been created in these establishments. � 150,000 fewerNew Yorkers were exposed to second-hand smoke on the job. Each of these analyses has been subj ected to criticism from the opposition, generally either because it is overly anecdotal or overly aggregated. The Status of the Bar and Restaurant Industries in New York Historically, the fmancial performance of eating and drinking establishments has tended to track the overall economy, as economic growth creates disposable income which is spent at New York's bars and restaurants. However, the recent past has seen a deviation fr+]� the long-term trend, as bars have reduced payrolls more sharply in the last two years than restaurants and the overall economy. In terms of structure, bars and restaurants are somewhat different, as bars tend to employ far fewer people per establishment. As Figure 1 indicates, nearly 75% of all bars employ less than 5 people, while the comparable figure for restaurants is 41 %. Overall, average bar employment across New York is 5 workers, while restaurants average over 15 employees per establishment statewide. Within the alcoholic beverage sector, bars and restaurants account for a rising share of liquor licenses, with the vast maj ority o f those � Reported at http://www.bantheban.ori/archives/009491.php. 4'The State o f Smoke-Free New York (�i.y: A On�Year Review," New York City departrnent o f Finance. New York City Department o f Health 8c Mental Hygiene, New Ypr� City Dapartment o f$mal! Bus iness Services,l'f�' York City �conamic DevelopmentCorporation, � 2004.