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At the end of the day, if the entire creative arts industries disappeared overnight, the world carries on without any real disruption. People might not like to hear it, but it’s true. The entire industry is essentially just a luxury thing.
There aren’t many industries that could be wiped out and nothing in daily life really changes, but the arts is one.
The arts is a vital part of our culture, not our survival - yes. The fact that we have over 4% of GDP going to “the arts” (that’s over $1.2T in the US alone), is an achievement, not a waste. It also means - more or less 1 in 25 people you meet is dependent / heavily dependent on the arts not just as something to do with their time, but a significant source of their livelihood.