Sale Rates and Price Movements in Art Auctions
AbstractThis paper examines the relationship between sale rates and price shocks in art auctions. Using data on contemporary and impressionist art, we show that while sale rates appear to have little relationship to current prices, there exists a strong negative relationship of sale rates to unexpected price shocks, which is reminiscent of a Phillips curve. We estimate an empirical model that suggests that the reserve price is set on average at about 70% of the low estimate.
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Bibliographic InfoArticle provided by American Economic Association in its journal American Economic Review.
Volume (Year): 101 (2011)
Issue (Month): 3 (May)
Other versions of this item:
- Ashenfelter, Orley C & Graddy, Kathryn, 2011. "Sale Rates and Price Movements in Art Auctions," CEPR Discussion Papers 8219, C.E.P.R. Discussion Papers.
- Orley Ashenfelter & Kathryn Graddy, 2011. "Sale Rates and Price Movements in Art Auctions," Working Papers 1294, Princeton University, Department of Economics, Center for Economic Policy Studies..
- Orley Ashenfelter & Kathryn Graddy, 2011. "Sale Rates and Price Movements in Art Auctions," Working Papers 23, Brandeis University, Department of Economics and International Businesss School.
- Orley C. Ashenfelter & Kathryn Graddy, 2011. "Sale Rates and Price Movements in Art Auctions," NBER Working Papers 16743, National Bureau of Economic Research, Inc.
- D44 - Microeconomics - - Market Structure and Pricing - - - Auctions
- L1 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance
- L82 - Industrial Organization - - Industry Studies: Services - - - Entertainment; Media
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
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