Absent Data Equals Art Market Fear – artmarketblog.com

Absent Data Equals Art Market Fear – artmarketblog.com

If knowledge equals power then knowledge also equals confidence, especially when it comes to making decisions, because being knowledgeable on a certain subject allows one to be confident in the decisions that one makes in relation to that subject. Conversely, a lack of knowledge equals a lack of confidence that in turn causes pessimism and fear.

The art market is all about confidence:

-the confidence of the collector in their ability to purchase a work that represents good value for money and will add value to their collection
-the confidence of the investor in their ability to identify a profitable work of art
-the confidence of the investor in their ability to predict the future of the art market or the future value of an artist’s work
-the confidence of the seller in their ability to identify the right market for their work and the right time to sell

The plethora of art market data and information that we have at our fingertips, thanks mainly to the internet, has given art investors and collectors the ability to make informed decisions and make much more accurate predictions. This increase in available information has in turn dramatically increased people’s confidence in themselves and the art market in general. Looking back to the art market boom of the early 90’s there was no where near the amount of data and information available on the art market and consequently a much lower level of confidence from those involved in the art market. Without the wide availability of data and information people were far more cautious with the decisions they made and far more reluctant to take a risk.

According to Thierry Ehrmann of artprice.com, “In the early nineties the art market had no reliable source of real-time information comparable to the stock market. Remember that, not so long ago, if you wanted to find an artist’s benchmark price you had to flick through thick books and even then you would only find a sample of results from the previous year War in Iraq stirs up bad memories. The first Gulf war in 1991 triggered a dismal slump in the art market.” When things go wrong in any market the first thing people usually do is analyse the data and make comparisons and predictions etc but without this data one can really only presume the worst.  The Gulf war was a time of great uncertainty which, partly because of the lack of available information on the art market, resulted in extreme caution and pessimism in the art market.

See the rest of the series analysing the 90’s art market correction here:

**Nicholas Forrest is an art market analyst, art critic and journalist based in Sydney, Australia. He is the founder of http://www.artmarketblog.com, writes the art column for the magazine Antiques and Collectibles for Pleasure and Profit and contributes to many other publications.

4 Responses

  1. If you are an artist recording history and medicine; complete data, knowledge, and confidence will always be missing as each moment changes history – for the artist and the investor.

    For both the artist and the investor, time is a requirement for the fulfillment of prophesy: yet there is no promise of time. With validation of the true monetary value of art impossible under these circumstances, should we all sit here together?

    I propose rather that the art, the artists, and the investors just hope that we become antiques together, and then at least the art will increase its value, and perhaps it will teach the generations we have left behind.

  2. […] Go to the author’s original blog: Absent Data Equals Art Market Fear – artmarketblog.com […]

  3. Hello Nicholas
    Firt I want to say
    Thank you for the links, I’ve read most of them previously, will read them all.

    I know your contest is Art for real!
    That’s why I’ve sent you that message, you are wise to listen to everyone’s oppinion and considering everything which doesn’t mean you’ll do everything you’ve been suggested.

    And thank you for doing this!!!!
    I know it is da’ell a lot of work, and not only that,
    your contest is a new kind of “Movement”
    as all Movements that happend in the past.

    I would call “Net Art Movement”, absolutelly brilliant!
    That’s our reality today, and it works very well!

    My Art Form is called “Dis Installation” which is a comment as well on the mathematics of Art, we don’t live of air.

    (will pass to you later what it means.
    I ‘invented’ this Art form because I thought my work wouldn’t classify in any definition existent, did it for 4 years in a role in London and my Collegues would call me ‘crazy’ untill Dr Ulrich Sacker Goethe’s Institute of London Chairman, came to one of my Happenings where we had 10 different great Artists exhibiting, each on a different Art form,
    and he told me te only thing he really liked and that was really new for him were my ‘Dis Installations’ and that I should keep doing this.
    Which I still do and thank him for that.
    It wasn’t easy.
    And because of this I sold all the prevoius ones and now people keep ordering Dis Installations from me…
    It’s an important decision to be an Artist.

    I will participate on the next Context
    first for the sake that I think it is a Brilliant Movement, and all the rest as well.I just didn’t have time to do entery on this one, went to Berlin and going again end of year and producing for an Exhibition in Brazil where I’ve never Exhibited before (I’m Brazilian with English nationality by merit no marriage)
    let us know in advance when will be the next context.
    And can we see, at some point, all entries for this one?
    It would be interesting and if some public can vote I will.

    Best Luck

  4. You put some very interesting links in Your post. Thanks!

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