Art and Money

W. Goetzmann, L.D.R. Renneboog, C. Spaenjers

Research output: Book/ReportReportProfessional

Abstract

This paper investigates the impact of equity markets and top incomes on art prices. Using a long-term art market index that incorporates information on repeated sales since the eighteenth century, we demonstrate that both same-year and lagged equity market returns have a significant impact on the price level in the art market. Over a shorter time frame, we also find empirical evidence that an increase in income inequality may lead to higher prices for art, in line with the results of a numerical simulation analysis. Finally, the results of Johansen cointegration tests strongly suggest the existence of a long-term relation between top incomes and art prices.
Original languageEnglish
Place of PublicationCambridge, MA
PublisherNational Bureau of Economic Research (NBER)
Number of pages41
Publication statusPublished - 2009

Publication series

NameNBER Working Paper
No.w15502

Fingerprint

Top incomes
Art market
Art
Equity markets
Simulation analysis
18th century
Price level
Market returns
Empirical evidence
Cointegration test
Market index
Numerical simulation
Income inequality

Cite this

Goetzmann, W., Renneboog, L. D. R., & Spaenjers, C. (2009). Art and Money. (NBER Working Paper; No. w15502). Cambridge, MA: National Bureau of Economic Research (NBER).
Goetzmann, W. ; Renneboog, L.D.R. ; Spaenjers, C. / Art and Money. Cambridge, MA : National Bureau of Economic Research (NBER), 2009. 41 p. (NBER Working Paper; w15502).
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Goetzmann, W, Renneboog, LDR & Spaenjers, C 2009, Art and Money. NBER Working Paper, no. w15502, National Bureau of Economic Research (NBER), Cambridge, MA.

Art and Money. / Goetzmann, W.; Renneboog, L.D.R.; Spaenjers, C.

Cambridge, MA : National Bureau of Economic Research (NBER), 2009. 41 p. (NBER Working Paper; No. w15502).

Research output: Book/ReportReportProfessional

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Goetzmann W, Renneboog LDR, Spaenjers C. Art and Money. Cambridge, MA: National Bureau of Economic Research (NBER), 2009. 41 p. (NBER Working Paper; w15502).