An interesting exchange on the delights of the art market and it’s similarities to high finance. Turns out both are pretty dodgy. Who’d have guessed….?
A debate has broke out over Allison Schrager’s piece ‘High-end art is one of the most manipulated markets in the world‘.
Schrager: “The nature of art as a commodity inherently makes efficient prices, meaning prices that reflect all available information about value, impossible. Value is subjective; the intrinsic value of a painting is paint and canvas—beyond that value is often a matter of taste. This is why the industry has developed an intricate signaling process where the approval of a handful of galleries, collectors and museums, determines what is good and valuable.”
Salmon: “Again, the problem is that the art market isn’t allowed, by its practitioners, to be a real market, and instead operates on a series of conventions which make it deeply broken on many levels.”
But Mostafa Heddeya at the art-blog Hyperallergic, begs to differ.
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