CentER Discussion Paper Series No. 2010-08
34 Pages Posted: 7 Nov 2009 Last revised: 13 Mar 2013
Date Written: April 28, 2010
This paper investigates the impact of equity markets and top incomes on art prices. Using a newly constructed art market index, we demonstrate that equity market returns have had a significant impact on the price level in the art market over the last two centuries. We also find evidence that an increase in income inequality may lead to higher prices for art. Finally, the results of Johansen cointegration tests strongly suggest the existence of a long-run relation between top incomes and art prices.
Keywords: Art market, Equities, Income inequality, Cointegration, Comovement
JEL Classification: D31, D44, G1, Z11.
Suggested Citation: Suggested Citation
Goetzmann, William N. and Renneboog, Luc and Spaenjers, Christophe, Art and Money (April 28, 2010). Yale ICF Working Paper No. 09-26; TILEC Discussion Paper No. 2010-002; CentER Discussion Paper Series No. 2010-08. Available at SSRN: https://ssrn.com/abstract=1501171 or http://dx.doi.org/10.2139/ssrn.1501171