One of the longest standing shibboleths of Canadian public policy is that popular culture industries in Canada must be financially supported and protected by government if those industries are to survive. Moreover, the survival, if not the growth, of those industries—the “entertainment” industries— is essential to maintaining what supporters identify as Canada’s “national identity”. From this point of view, government support and protection of Canada’s entertainment industries can be seen as contributing to the survival of Canada as a sovereign nation or, at least, to the promotion of a more civil and cohesive Canadian society. A related argument for government intervention is that it is “justified” by the economic contributions that the entertainment industries make to Canada. The broad objective of this study is to assess the main arguments for direct and indirect government support for the entertainment industries in Canada. While the focus of the analysis is on Canada, the main theoretical arguments could apply to most small, open economies. The assessment includes identifying and evaluating the relevant arguments for and against government support, as well as an evaluation of the admittedly limited evidence bearing upon those arguments. The study comes to two main conclusions. One is that specific and