Changes in the global art market

Abstract

Research background: The dynamics of the art market are usually presented in terms of price fluctuations, price indexes and financial returns. This paper proposes the value and volume approach, which has not been considered in an aggregative way for a long time in the economic literature. Purpose of the article: The aim of the paper is to present changes in the global art market in the period 2002–2015. The results of dynamic analysis of the art market are presented, including two approaches: value of transactions and volume of transactions. The impact of the global crisis on the art market is considered. Methods: In order to present the changes on the global art market, statistical indexes of dynamics (single base and chain indexes) are used. Moreover, trend analyses have been conducted for the value and volume of transactions on the art market. The sources of data on the global art market are from Artprice, ArtTactic, and TEFAF (The European Fine Art Foundation). Findings & Value added: In the analysed period of 2002–2015, sales on the global art market generally increased. The value and volume of sales peaked in 2007 and 2014. The art market was considerably affected by the economic recession in 2009, but in the next year it recovered. The trend analyses allow the changes on the market to be described by means of mathematical functions, and the countries with the largest share in the global art market can be identified. Particular attention has been paid to the existence of a triad on the art market consisting of Europe, the USA and China. It is noteworthy that Europe and the USA have rapidly lost market share to China.