“Clubs that provided strictly instrumental music to which no one danced were exempt from the cabaret tax. It is no coincidence that in the back half of the 1940s a new and undanceable jazz performed primarily by small instrumental groups—bebop—emerged as the music of the moment. How differently might bebop have been expressed if it had been allowed to develop organically instead of in an atmosphere where dancing was discouraged by the taxman? The cabaret tax was finally eliminated in 1965. By then, the Swing Era ballrooms and other ‘terperies’ were long gone, and public dancing was done in front of stages where young men wielded electric guitars.”
http://online.wsj.com/article/SB10001424127887323628804578348050712410108.html
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