Art as an investment: the market for modern prints

Authors :: Pesandro, James E.
Source :: American Economic Review. Dec, 1993, Vol. 83 Issue 5-6, p1075, 15 p.
Publication Year :: 1993
Abstract: A study examined the economic efficiency of the art market by focusing on the auction market for modern prints. An index of prices for repeat sales of identical prints from 1977 to 1992 showed a mean real return on the total print portfolio of only 1.51%. This rate compares unfavorably with such investments as stocks and long-term bonds, which have comparable risk. Results varied on other aspects of market efficiency.